Ryanair lifts FY26 profit 40% and eyes further growth amid capacity constraints

Ryanair Holdings ( (RYAAY) ) has shared an update.

Ryanair reported on 18 May 2026 that full-year profit after tax for the year ended 31 March 2026 rose 40% to a record €2.26bn (pre-exceptional), as revenue increased 11% to €15.54bn and traffic grew 4% to 208.4 million passengers, despite Boeing delivery delays and an €85m provision for an Italian competition fine. The group highlighted tight cost control, strong jet-fuel hedging at around $67 per barrel through April 2027, a BBB+ balance sheet with net cash of €2.1bn and plans to become effectively debt free, while rolling out all 210 B737 Gamechangers, expanding its fleet to 647 aircraft, reallocating capacity to lower-tax markets, investing in in-house engine maintenance, progressing an extension of CEO Michael O’Leary’s contract, and positioning itself to benefit from constrained European short-haul capacity and environmental efficiency gains as it targets growth to over 300 million passengers annually by FY34.

Ryanair’s FY26 performance was underpinned by higher fares, resilient demand despite Middle East conflict, and robust liquidity after significant capex, debt repayments, share buybacks, and a proposed final dividend, reinforcing its cost advantage over more leveraged rivals. The airline expects FY27 traffic to rise to 216 million passengers, but warns that higher environmental taxes, elevated unhedged fuel costs, rising maintenance expenses on its ageing NG fleet and LEAP engines, and crew pay increases could push unit costs up by a mid-single-digit percentage, even as new routes and bases in lower-tax countries, continued fleet renewal, and strengthened ESG ratings support its competitive position and stakeholder returns.

The most recent analyst rating on (RYAAY) stock is a Buy with a $80.00 price target. To see the full list of analyst forecasts on Ryanair Holdings stock, see the RYAAY Stock Forecast page.

Spark’s Take on RYAAY Stock

According to Spark, TipRanks’ AI Analyst, RYAAY is a Outperform.

The score is driven mainly by strong financial profitability and an improved balance sheet, supported by constructive guidance and shareholder returns from the latest earnings call. The key offsets are weaker recent free-cash-flow conversion and softer near-term technical momentum, while valuation appears reasonable.

To see Spark’s full report on RYAAY stock, click here.

More about Ryanair Holdings

Ryanair Holdings plc is a low-cost airline group based in Ireland, operating one of Europe’s largest short-haul networks with a focus on budget-conscious travelers across the continent and nearby markets. Its business model relies on high aircraft utilization, dense point-to-point routes, and ancillary revenues from services such as priority boarding, seat selection, and onboard sales.

Average Trading Volume: 1,549,892

Technical Sentiment Signal: Hold

Current Market Cap: $26.64B

See more data about RYAAY stock on TipRanks’ Stock Analysis page.