Ryanair shares dive 5% as booking websites withdraw Christmas flights
Ryanair The Removal' Cited Platforms Month Online 'sudden Flights By Last Booking Of Early
Ryanair fell more than 5% in the first stumble for the shares after a relentless rise in recent weeks, as uncertainties clouded the industry's outlook despite the airline posting an upift in passenger numbers over Christmas.
However, the company cited the "sudden removal" early last month by online booking platforms, including Booking.com, Kiwi, and Kayak, of Ryanair flights for an estimated fall of up to 2% of its yields, or the proportion of seats it fills on its planes, in the Christmas and new year period.
It added it had left its full-year after-tax profit and passenger numbers unchanged. Ryanair's 2024 financial year runs through to the end of March.
"While this is a welcome development for the longer term, it has impacted short term load factors and yields for Ryanair," said broker Goodbody in a commentary.
The stalling of the share price has taken on additional significance this year because of the profits and share price targets that could land chief executive Michael O'Leary a bonus of €100m.
The shares ended 5.25% lower on Wednesday to trade at €18.18 each to value the airline at €20.7bn.
Ryanair shares are still up almost 49% from this time last year and had soared as high as €19.30 in late December.
Under a shares option incentive, Mr O'Leary could bank €100m if annual profit rises to €2.2bn or if the share price rises to €21 for 28 days.
Mr O’Leary had also committed to stay longer at the airline, until the summer of 2028. Ryanair has forecast it will post an after-tax profit of €1.85bn and €2.05bn this financial year.