Ryanair posts record €2.26B FY26 profit, moves to become debt-free

Ryanair Holdings plc (NASDAQ:RYAAY) reported its finalized, record-breaking financial results for the fiscal year ended March 31, 2026 (FY26), highlighting explosive bottom-line performance, strategic fuel defenses, and significant corporate restructuring.

The Dublin-based ultra-low-cost carrier posted a record pre-exceptional profit after tax (PAT) of €2.26 billion, delivering a massive 40% surge compared to the €1.61 billion recorded during fiscal 2025.

The record profitability was anchored by strong top-line momentum, with full-year Group revenue rising 11% to €15.54 billion.

Scheduled passenger revenue jumped 14% to €10.56 billion as annual traffic expanded 4% to 200.2 million passengers—rebounding firmly despite ongoing Boeing delivery delays.

This growth was amplified by a 10% recovery in average airfares, completely erasing the 7% fare softening observed in the prior fiscal year.

Ancillary revenues also maintained a steady upward trajectory, climbing 6% to €4.99 billion, translating to a highly efficient secondary capture of €24 per passenger.

Operating expenses before exceptional items were held to a disciplined 6% increase, totaling €13.09bn, keeping unit costs per passenger nearly flat with a minor 1% increase.

The results factored in a localized €85 million exceptional charge, representing a 33% conservative provision against a €256 million fine levied by Italy's antitrust authority (AGCM) in December 2025, which Ryanair expects to successfully overturn on appeal.

On a reported IFRS basis, consolidated net income finished at €2.17 billion.

Financially, Ryanair strengthened its industry-leading fortress balance sheet.

Boasting an unencumbered Boeing 737 fleet of 620 aircraft and a solid BBB+ credit rating from both S&P and Fitch, the airline closed the fiscal year with €3.6 billion in gross cash.

This strong liquidity position was achieved even after deploying €1.9 billion in capital expenditures, executing €1.2 billion in gross debt repayments, and returning over €900 million to equity holders via buybacks.

With net cash standing at €2.1 billion, Chief Financial Officer Neil Sorahan confirmed that Ryanair will completely extinguish its final outstanding €1.2 billion public bond next week.

The transaction will leave the low-cost giant effectively debt-free, creating a substantial structural cost advantage over legacy European peers exposed to expensive floating aircraft leases and rising debt refinancing rates.

Operationally, the airline achieved its target fleet deployment, taking delivery of its final Boeing 737-8200 "Gamechanger" units to push its active consolidated fleet to 647 aircraft.

Looking ahead to the next phase of expansion, Boeing has reaffirmed a Spring 2027 delivery timeline for Ryanair's first 15 high-capacity MAX-10 aircraft, following an anticipated late-summer 2026 FAA/EASA regulatory certification.

To protect its operating margins from current geopolitical shocks in the Middle East—which have driven spot jet fuel prices north of $150 per barrel—Ryanair has proactively hedged 80% of its fiscal 2027 fuel requirements at a highly competitive rate of roughly $67 per barrel through April 2027.