Ryanair shares dip after earnings fall

Ryanair shares fell nearly 4% yesterday on the back of the airline missing quarterly earnings targets and admitting its full-year outlook is looking vulnerable.

Ryanair yesterday reported third quarter revenues for the three months to the end of December of €1.34bn, up 1% year-on-year. However, net profits fell by 8% to €95m and earnings per share fell 2% to 7.60c.

Analysts had expected revenues of €1.36bn and net profits of closer to €100m for the period. A major driver for the disappointing figures was a 17% fall in average fares, to €33. While the company had hinted at that, its guidance had been for a fare fall of between 13% and 15% for the quarter.