Ryanair reported a 34% drop in first-quarter net profit to 538 million euros, down from 820 million euros a year earlier, as soaring fuel prices tied to the U.S.-Iran conflict and the blockade of the Strait of Hormuz pressured margins.
Total revenue edged up 1% to 4.38 billion euros while the airline carried 61.3 million passengers, a 6% increase. However, average fares fell 6%, and operating costs climbed 11% to 3.81 billion euros after the cost of unhedged fuel more than doubled. The carrier said 20% of its fuel was unhedged and exposed to price spikes, while jet fuel averaged $127 per barrel in the week ending 10 July, up 41% year-on-year.
Ryanair has hedged 80% of its fuel for fiscal 2027 at $67 per barrel, with 15% covered for 2028 at $85.