Explainer
Will your Ryanair fare go up because of the fuel bill?
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Ryanair made 2.15 billion euros in profit in the first half, down 15% on a year earlier.
€2.15bn
Most of its fuel is locked in: 80% of needs to March 2027 is hedged at a set price. Only 25% of the twelve months after that is covered.
- Hedged to March 2027 at $67 a barrel80%
- 12 months to March 2028 at $95 a barrel25%
Its chief executive, Michael O'Leary, was blunt: Unless there is a swift resolution of the Middle East conflict we expect jet fuel prices to remain elevated well into 2027.
“Unless there is a swift resolution of the Middle East conflict we expect jet fuel prices to remain elevated well into 2027.”
As airlines' fuel hedges run out, Ryanair expects European fares to rise materially, by as much as 20%, according to The Guardian. Ryanair says that is unlikely to fully cover its extra fuel bill.
20%
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The story
Ryanair profit falls 15% in first half as fuel bill set to rise by €2bn in 2027Read the article
Based on reports by
- The GuardianRyanair considers pay freezes and reducing crew on flights as fuel costs soar
- TheJournal.ieRyanair boss says higher fuel costs may require pay freezes and more AI, as profits dip
- Le Soir“Everything is on the table”: Ryanair announces cost reductions in the face of rising kerosene prices
- La RazónKerosene takes its toll on Ryanair, which earns 15% less and warns that jet fuel spending will rise by about 2 billion in 2027
- El ConfidencialRyanair earns 15% less in its first half due to the rising cost of fuel
- Financial Times NewsRyanair to freeze pay and cut hiring as €2bn jet fuel hit looms