Ryanair Q1 profit misses estimates as fares fall

Ryanair reported first-quarter profit below analyst expectations after average ticket fares fell 6% and higher fuel costs reduced margins, even as passenger numbers rose 6% to 61.3 million.

Total revenue for the quarter increased 1% to €4.38 billion, while scheduled revenue slipped 1% to €2.91 billion despite the traffic gain.

Operating costs rose 11% to €3.81 billion and unit costs increased about 5%. The airline reported prices for the roughly 20% of its jet fuel that remained unhedged more than doubled during the quarter to about $150 per barrel.

Ryanair said it has hedged around 80% of fiscal 2027 fuel requirements at about $67 per barrel and about 15% of fiscal 2028 needs at roughly $85 per barrel.

Management used lower fares to stimulate demand, citing the Middle East conflict, concerns about possible EU jet-fuel shortages and later bookings. The company warned that average summer fares are likely to remain modestly below last year, and said the final first-half fare outcome will depend on close-in bookings in August and September.

During the quarter Ryanair opened three new operating bases in Rabat, Tirana and Trapani and launched 130 new routes for its Summer 2026 schedule. The group completed delivery of its final Boeing 8200 Gamechanger aircraft in February 2026, after which related supplier compensation ended.

In May the airline repaid its final €1.2 billion bond, leaving the group debt-free. Ryanair reiterated its focus on fuel hedging, managing costs and encouraging late bookings to support fares for the remainder of the season.