Ryanair hits load factor ceiling
Ryanair CE Michael O’Leary believes it will be difficult to increase his airline’s load factor above 93%, which it achieved in its 2015-16 financial year. “I think 93% is as high as it can go. I think it will flat line at 93%,” he said. He said the high load factor was partly driven by Ryanair’s Always Getting Better (AGB) initiative, which has pushed aircraft occupancy up from 83% to 93% over the last two years and boosted annual passenger numbers from 80m to over 106m. Under AGB, Ryanair has improved its product, schedules and has added more primary airports to its network. Instead of using the high load factor as leverage to increase fares, Ryanair plans to keep prices low to maintain the figure at around 93% and put pressure on its rivals. Ryanair is expecting its fares to drop 5%-7% in the first half of its 2016-17 financial year. <br/>
https://portal.staralliance.com/cms/news/hot-topics/2016-05-26/unaligned/ryanair-hits-load-factor-ceiling
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Ryanair hits load factor ceiling
Ryanair CE Michael O’Leary believes it will be difficult to increase his airline’s load factor above 93%, which it achieved in its 2015-16 financial year. “I think 93% is as high as it can go. I think it will flat line at 93%,” he said. He said the high load factor was partly driven by Ryanair’s Always Getting Better (AGB) initiative, which has pushed aircraft occupancy up from 83% to 93% over the last two years and boosted annual passenger numbers from 80m to over 106m. Under AGB, Ryanair has improved its product, schedules and has added more primary airports to its network. Instead of using the high load factor as leverage to increase fares, Ryanair plans to keep prices low to maintain the figure at around 93% and put pressure on its rivals. Ryanair is expecting its fares to drop 5%-7% in the first half of its 2016-17 financial year. <br/>
