Dublin
Ryanair’s profits soar:Ryanair is handing shareholders regular payouts for the first time after soaring air fares put the airline on track to make record profits, says Alex Lawson in The Guardian. The airline, led by Michael O’Leary (pictured), is expecting end of year profits in March 2024 of up to €1.9bn, exceeding the record €1.6bn posted in 2018. The boost is thanks to a 24% rise in average air fares to about €58 in the six months to October, fuelled by a post-pandemic rise in demand. Now Ryanair will pay a dividend for the first time in its history – an interim payment of €200m in February, another €200m in September, and thereafter it plans to pay out around a quarter of its annual profits each year.
Despite the jump in the share price, “the group’s valuation suggests investors remain braced for turbulence”, says Aimee Donnellan on Breakingviews. Ryanair’s stock currently trades at five times earnings before interest, taxes, depreciation and amortisation (Ebitda), despite the price averaging eight times
