Topic updates
Why is Ryanair so profitable?
1st February 2023
Ryanair has grown rapidly to become one of Europe's largest passenger airlines. In this short study video we look at some of the factors that help explain the rapid expansion of revenues and (until recently) operating profits.
Operating profits at Ryanair have taken off again after a turbulent time during and immediately after covid-19 restrictions. Ryanair reported a profit after tax of €211m for the three months to the end of 2022, against a loss of €96m a year previously. It is a return to profitability for one of the most successful low-cost airlines in the world.
- Economics
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- Profit
- Profitability
- Supernormal profit
- Profit Margin
- Profit maximisation
Geoff Riley
Geoff Riley FRSA has been teaching Economics for over thirty years. He has over twenty years experience as Head of Economics at leading schools. He writes extensively and is a contributor and presenter on CPD conferences in the UK and overseas.
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