Ryanair lowers profit forecast amid tough competition

Budget airline Ryanair, Europe's biggest carrier, has warned its profits this year will be lower than expected _ the second time in four months _ because of lower fares over the winter

ByThe Associated Press
January 18, 2019, 5:43 AM
FILE- In this Wednesday, May 13, 2015 file photo passengers disembark a Ryanair plane, at the Marseille Provence airport, in Marignane, southern France. Budget airline Ryanair, Europe’s biggest carrier by passengers, has warned its profits will be lo
FILE- In this Wednesday, May 13, 2015 file photo passengers disembark a Ryanair plane, at the Marseille Provence airport, in Marignane, southern France. Budget airline Ryanair, Europe’s biggest carrier by passengers, has warned its profits will be lower than expected _ the second such downgrade in four months _ because of weaker fares over the winter. The company said Friday, Jan. 18, 2019 it expects full-year profit of between 1 billion euros and 1.1 billion euros, down from a range of 1.1 billion euros to 1.2 billion euros previously. It said that while traffic is up, winter fares are expected to fall 7 percent. (AP Photo/Claude Paris, File)
The Associated Press

LONDON -- Budget airline Ryanair, Europe's biggest carrier by passengers, has warned its profits will be lower than expected — the second such downgrade in four months — because of weaker fares over the winter.

The company said Friday it expects full-year profit of between 1 billion euros and 1.1 billion euros, down from a range of 1.1 billion euros to 1.2 billion euros previously. It said that while traffic is up, winter fares are expected to fall 7 percent.

CEO Michael O'Leary noted there was stiff competition and expects some rival budget carriers to fall out of the market. Companies like WOW and Flybe have been up for sale after struggling financially.

O'Leary warned profits could be hit further if Brexit complicates air travel between the U.K. and other European countries.

ABC News Live

ABC News Live

24/7 coverage of breaking news and live events