Ryanair sees brighter signs after reporting worst Q1 in its history

30/07/2020

LCC eyes up 70% of pre-Covid schedules by the autumn supported by intra EU travel zone

Ryanair has set its sights on returning to 70% of its pre-pandemic schedule by September as the LCC reported a first quarter loss of €185m due to the virus.

April- June 2020 would go down as the most challenging period in Ryanair’s history, the airline said. However, the airline expressed optimism over steady volume growth since restarting operations in July.

Ryanair urged EU governments to support the resurgence with effective track and trace systems.

A company statement said: “It is vital that European economies begin the process of recovery this summer to minimise the damage arising from the Covid-19 pandemic and this recovery can only be led by intra-EU air travel which is the engine of EU growth and economic activity.”

Ryanair said it expected a “very challenging” 2021 and the possibility of a second wave of coronavirus in Europe this autumn was its top concern.

Despite the fears – Ryanair claimed to possess “one of the strongest” balance sheets in the industry with over €3.9bn cash at 30 June.

Revenue had plummeted by 95% and volumes by 99% in Q1, the airline reported. The hiatus sparked cost reductions of 85% according to the LCC. Ongoing efforts were being made to improve “cost leadership” as Ryanair prepared to compete with flagship carriers who had benefitted from state-aid during the crisis, the airline said.