DAVY VIEW

Weakening fares have caused Q1 to miss our forecasts by 6% but consensus by one-third and Ryanair now expects Q2 fares to be “materially lower than last summer” (previously expected to be “flat to modestly up”). We will cut our estimates by c.15% to net income of €1720m for FY25. Stellar balance sheet, cash generation, costs and market position remain unchanged. As we said in our preview note, the market appears to be going through some volatility. If last year the buzzword was “revenge travel”, then this year it would appear to be more “normalised demand”.