Ryanair to slash fares by 7% to remain a high-flier
BUDGET carrier Ryanair Holdings said yesterday that it plans to cut fares by 7 per cent on average this fiscal year to bolster its market share as intensifying competition hits Europe's airline business.
The Irish airline, Europe's largest by passenger numbers, outlined the fare cuts as it reported net profit of 1.24 billion euros (S$1.9 billion) for the year ended March 2016, just short of a forecast of 1.25 billion euros compiled in a company poll of analysts' estimates.
Last year's net profit was 43 per cent more than the 867 million euros reported for the year to March 2015.
Ryanair said it "cautiously" expects net profit to increase by about 13 per cent in the year to March 2017, to between 1.38 billion euros and 1.43 billion euros. This is less than the consensus of 1.47 billion euros in a poll of over 10 analysts compiled by the company ahead of the results.