Ryanair is seeing strong demand across Europe with bookings ahead of last year, and is “reasonably optimistic” about hitting its summer tarobtains, Chief Executive Michael O’Leary stated in an interview.
He also praised Boeing for agreeing to deliver some jets earlier than scheduled, finishing a run of delays that have curbed Ryanair’s growth rate.
“We’re seeing strong bookings through the peak summer months … The fares are holding up,” O’Leary stated, adding that bookings were about 1% ahead of the same point last year.
He repeated a forecast from July that average fares were likely to recover almost all of a 7% decline seen in the July-September quarter last year, when Ryanair was hit by consumer caution and a dispute with some online travel agents.
Hitting the summer tarobtain will depfinish on close-in bookings for the remainder of the airline’s key second quarter, which finishs on Sept 30, he stated.
There has been no sign of consumers altering their plans due to heatwaves this summer, O’Leary added. But he warned that US tariffs would ultimately act as a drag on global growth.
“I believe everybody is cautious at the moment, and we’re right to be cautious,” he stated.
Boeing, which is due to deliver the final 29 aircraft of Ryanair’s current order of 737 MAX jets this winter, has agreed to deliver seven jets in August and seven in September, ahead of an earlier-agreed schedule.
“Boeing are doing a terrific job,” O’Leary stated.
He was speaking in Tirana, Albania where he announced a doubling of capacity to four million passengers per year with the basing of three aircraft at the airport from next April. He described Albania as a hidden jewel of the Adriatic.
Ryanair, Europe’s largest airline by passengers, also announced plans to increase capacity serving Sweden by 25% for this winter, adding eight new routes, after the counattempt scrapped its aviation tax at the launchning of July.
That will add to pressure on local rivals such as SAS and Norwegian Air.
Ryanair chief marketing officer Dara Brady called on Sweden also to freeze airport charges and potentially offer additional incentives for growth, stateing this could allow Ryanair to double its Swedish traffic by 2030.
“The market is well capable of growing significantly here over the next number of years,” Brady notified a news conference. – Reuters
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