Ryanair Q1 results: 'a lot of unknowns into third and fourth quarter'

Ryanair Holdings plc (NASDAQ: RYAAY) reported better-than-expected quarterly revenue on Monday. Shares jumped roughly 8.0% as the low-cost air carrier also swung to a profit for Q1.

Notable figures in Ryanair Q1 results

According to the Irish airlines, it made a profit of €187.5 million (£159.09 million), which was well below the consensus of €406.6 million but significant improvement from last year’s €272.6 million net loss.

At €2.60 billion, revenue topped the FactSet consensus by 2.40%. The air carrier flew 45.5 million passengers in the recent quarter; load factor jumped sharply to 92%, as per the press release.

Ryanair refrained from offering detailed guidance for the future on several uncertainties related to the geopolitical tensions, oil prices volatility and the possibility of a new COVID wave this winter.

Highlights from CFO’s interview on CNBC

CFO Neil Sorahan on CNBC’s “Squawk Box” said bookings and fares were also better than last year but a material impact of the Ukraine war was still evident. He added:

The stock price is down nearly 30% for the year. For the balance of fiscal 2023, Ryanair expects elevated oil prices to result in higher costs on its “20% unhedged fuel”. But CFO Sorahan added: