On Monday Ryannair upped its growth forecast over the long term, by 10% stating that it was expecting to carry as many 200 million passengers every year, by the year 2024. Ryanair expects to achieve this by acquiring capacity from the rivals who are struggling to earn a profit because of prices dipping due to competition.
In terms of passenger numbers, Ryannair already enjoys the top slot as the largest carrier in Europe and achieved a sale of 19 million tickets every year. Earlier during the month, Ryanair also announced its plans to add another 2 million passengers during the current fiscal as competition is cutting back.
The Irish carrier has also announced its plans to pay back 550m Euros to its shareholders by February 2017 via a buyback of shares.
However, some 3 weeks ago, Ryanair announced a 5% cut in its profit forecast for the year ending March,2017 on account of weak sterling and impact of growing competition on prices translating to about 1.3 billion Euros and 1.35 billion Euros.
On Monday, the carrier stated that the forecast was comfortable, but also added that it was significantly subject to the absence of any unforeseen adverse declines in fares in the period up to March.
Michael O’Leary, CEO of Ryannair also revealed plans to expand services this winter in Frankfurt and Berlin, as well as open in other German cities including Nuremburg, and Hamburg. This is in addition to the plans for Bucharest, Prague, Romania, Lithuania, Vilnius and the Czech Republic.