Ryanair Holdings plc

Financial performance (Q1) & why profit fell - Q1 PAT: €538m (-34% YoY vs €820m), mainly from a spike in oil prices affecting 20% unhedged fuel and timing effects (Easter split into prior-year Q4). - Traffic up +6% to 61.3m passengers but revenue per passenger -5%. - Schedule revenue -1% to €2.91bn: fares -6% (ancillaries flat).

Fuel hedging: protective “fortress” economics, but the 20% unhedged remains the swing factor - FY2027 jet fuel hedged ~80% at $67/bbl → CFO says FY earnings are largely insulated from volatile spot oil. - FY2028 extended: now ~15% hedged at ~$85/bbl (recently benefited from forward-rate weakness). - Key investor takeaway: Ryanair’s outlook hinges on how the remaining 20% unhedged fuel performs, not on fully hedged exposure.

Cost trend: unit cost leadership continues, with maintenance already showing up - Unit cost +5% in Q1 (not “bad” relative to oil because hedging offsets much of the fuel shock). - Ex-fuel unit costs: up ~2% ex-fuel in Q1; management expects some ticking up in H2 but still “margining below mid-single digits” for H2. - Maintenance up (noted from mid-life LEAP shop visits / engine shop provisioning and more frequent checks as NGs age). This is a real cost headwind rather than a one-off.