22nd Dec 2021 17:39
(Alliance News) - Ryanair Holdings PLC on Wednesday lowered full-year guidance as Europe tries to stem the spread of the Omicron coronavirus variant.
It now expects a net loss for the financial year ending March 31 to be in the range of EUR250 million to EUR450 million, from a prior guidance range of EUR100 million to EUR200 million.
The Irish budget airline said the Omicron variant, and travel restrictions across Europe to contain it, have resulted in weaker demand for Christmas and New Year bookings. It has cut planned January schedule capacity by a third.
"In light of the current uncertainty about the Omicron variant, and intra Europe travel restrictions, no schedule cutbacks have yet been decided for February or March 2022. These schedules will be revisited in January as more scientific information becomes available on the Omicron variant, its impact on hospitalisations, European population and/or travel restrictions in February or March," said Ryanair.
It expects full-year traffic to be "just under" 100 million passengers, reduced from a prior forecast of "just over" 100 million.
However, it cautioned the latest forecasts are "hugely sensitive" to further Covid developments, good or bad.
"Ryanair hopes to have more clarity, especially on the impact of Omicron on intra Europe travel restrictions, in time for its third quarter results on January 31," the airline said.
Shares in Ryanair closed down 0.2% at EUR15.57 in Dublin on Wednesday.
By Lucy Heming; [email protected]
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