Ryanair Holdings (NASDAQ:RYAAY) reported fiscal third-quarter earnings that topped Wall Street estimates, as the budget carrier capitalized on strong demand during the October mid-term and peak Christmas travel periods.
The Dublin-based airline posted adjusted earnings of 26 cents per share, comfortably beating the 18-cent average estimate from analysts surveyed by Zacks Investment Research.
Total revenue for the period reached $3.74 billion (€3.21 billion), a 9% increase over the previous year.
While the top-line performance was strong, the company's net income was impacted by an €85 million ($92 million) exceptional charge—a provision related to a fine from the Italian antitrust authority (AGCM), which Ryanair is currently appealing.
Including this charge, net income stood at $35.4 million, or 7 cents per share.
Operationally, the airline continues to see high volume, with traffic growing 6% to 47.5 million passengers in the quarter.
Average fares rose 4% to €44, as the airline benefited from a "cautious recovery" in pricing power.
Chief Executive Officer Michael O’Leary noted that the carrier's "Gamechanger" Boeing 737-8200 fleet—which now numbers over 200 aircraft—is providing a critical edge in fuel efficiency and capacity.
"Our balance sheet remains one of the strongest in the industry," the company stated, noting it is well-positioned to repay a maturing €1.2 billion bond in May 2026 using internal cash.
Looking ahead, Ryanair raised its full-year traffic forecast to 208 million passengers, citing earlier-than-expected aircraft deliveries from Boeing.
However, the carrier maintained a cautious stance on profit guidance for the remainder of the fiscal year, citing potential "macro-economic shocks" and ongoing air traffic control strikes in Europe.