Air Canada and Air Canada Cargo on May 23 operated its first commercial flight into Punta Cana, Dominican Republic, with its Boeing 767 freighter. The service will be operated once per week.
Air Canada Cargo’s flight to Punta Cana is the latest addition to its worldwide freighter network, following recently launched freighter services to San José, Basel, Liege, Dallas, Atlanta and Bogota.
Good article from The Seattle Times:
Allegiant Air will be taking all five gates at the new terminal at Sarasota-Bradenton International Airport (SRQ). The expansion is currently under construction.
Read the full story from the Bradenton Herald:
https://www.bradenton.com/news/local/article275672436.html
Frontier Airlines announces the opening of a new crew base at Dallas Fort Worth International Airport (DFW).
Frontier Airlines President and CEO Barry Biffle and DFW Airport Vice President of Airline Relations Milton De La Paz joined members of Team Frontier for a ribbon-cutting ceremony to mark the occasion. The base is expected to employ up to 120 pilots and 220 flight attendants within its first year of operation. Combined with maintenance and airport positions, the airline is expected to generate more than $78 million annually in local wages with further growth anticipated in the coming years. Frontier has been the fastest growing carrier at DFW since 2019.
New Service from Dallas Fort Worth International Airport (DFW):
| SERVICE TO: | SERVICE START: | SERVICE FREQUENCY: | INTRO FARE: |
| San Juan, Puerto Rico (SJU) | May 4, 2023 | Daily | $89* |
| New York LaGuardia (LGA) | May 11, 2023 | Daily | $69* |
| Cleveland (CLE) | May 12, 2023 | 4x/week | $39* |
| Montego Bay, Jamaica (MBJ) | May 22, 2023 | 3x/week | $99* |
British Airways unveiled its next Avios-Only flights today, opening up hundreds of additional reward seats over the 2024 Easter period.
The first Avios-Only flights were revealed last month, on which 100% of the seats are exclusively available to Executive Club Members as Reward Seats. The first two, to Sharm El Sheikh in November 2023 and Geneva in February 2024, were both snapped up by Members in less than 24 hours.
Following the success, British Airways has opened five more return journeys that will operate as Avios-Only flights in 2023 and 2024. Members will have the opportunity to travel on both Avios-Only flights or combine them with other available travel dates.
| Route | Outbound date | Inbound date |
| London Gatwick to Las Palmas | 15 November 2023 | 22 November 2023 |
| London Gatwick to Lanzarote | 4 December 2023 | 11 December 2023 |
| London Heathrow to Barcelona | 29 March 2024 | 7 April 2024 |
| London Heathrow to Nice | 29 March 2024 | 7 April 2024 |
| London Gatwick to Tenerife | 29 March 2024 | 7 April 2024 |
Reward Seats are those that can be purchased using Avios at static rates. British Airways guarantees a minimum of 12 and 14 Reward Seats on all other short and long-haul flights respectively as standard, whereas Avios-Only flights mean that every seat is available to purchase using Avios. Members booking the Avios-Only flight can do so in any cabin as they normally would through ba.com.
Customers with British Airways American Express Credit Cards will also be able to use their Companion Vouchers on the Avios-Only flights, entitling them to a second seat for just the taxes and charges, or half the amount of Avios.
Avios-Only flight costs
| Please note that all costs are per person for a return flight | ||
| Destination / date | Euro Traveller (economy) | Club Europe (business class) |
| Heathrow – Barcelona 29 March – 7 April 2024 | £1 + 25,500 Avios£9 + 24,000 Avios£25 + 18,500 Avios£35 + 16,500 Avios£95 + 10,500 Avios£115 + 6,500 Avios | £1 + 44,500 Avios£9 + 43,000 Avios£35 + 34,500 Avios£50 + 31,500 Avios£125 + 23,500 Avios£165 + 17,500 Avios |
| Gatwick – Tenerife 29 March – 7 April 2024 | £1 + 30,500 Avios£9 + 29,000 Avios£25 + 23,500 Avios£35 + 21,500 Avios£111 + 14,500 Avios£135 + 9,500 Avios | £1 + 54,500 Avios£9 + 53,000 Avios£35 + 39,500 Avios£50 + 36,700 Avios£145 + 29,500 Avios£195 + 23,500 Avios |
| Heathrow – Nice 29 March – 7 April 2024 | £1 + 19,500 Avios£9 + 18,000 Avios£18 + 15,500 Avios£35 + 10,500 Avios£75 + 8,100 Avios£95 + 6,500 Avios | £1 + 32,500 Avios£9 + 31,000 Avios£25 + 26,500 Avios£50 + 19,500 Avios£95 + 14,500 Avios£135 + 11,500 Avios |
| Gatwick – Las Palmas 15 – 22 November 2023 | £1 + 27,500 Avios£9 + 26,000 Avios£20 + 24,000 Avios£35 + 18,500 Avios£91 + 12,500 Avios£121 + 8,500 Avios | £1 + 48,500 Avios£9 + 47,000 Avios£35 + 38,500 Avios£50 + 35,500 Avios£95 + 26,500 Avios£141 + 19,500 Avios |
| Gatwick – Lanzarote 4 – 11 December 2023 | £1 + 27,500 Avios£9 + 26,000 Avios£20 + 24,000 Avios£35 + 18,500 Avios£91 + 12,500 Avios£121 + 8,500 Avios | £1 + 48,500 Avios£9 + 47,000 Avios£35 + 38,500 Avios£50 + 35,500 Avios£95 + 26,500 Avios£141 + 19,500 Avios |
About the British Airways Executive Club
The British Airways Executive Club is a free-to-join reward programme for anyone who loves travel. Its currency is Avios, which can be collected by flying with BA or its partner airlines, taking a holiday, making purchases with more than 1,500 retailers when shopping through British Airways at shopping.ba.com, or through everyday spending with a wide range of partners such as American Express, Nectar, Avis Budget Group and Marriott.
Earlier this year, British Airways Holidays became the latest addition to the programme, allowing Members to book a holiday package from as little as £1 + 67,650 Avios for two people sharing.
Members can also collect Tier Points every time they fly with British Airways or its oneworld® partners, which offer access a range of exclusive benefits as they climb the Tiers through Blue, Bronze, Silver and Gold.
United Airlines today announced plans to significantly grow its position as Denver’s leading airline, adding 35 flights, six new routes, a dozen new gates and three clubs, including the largest ones in the carrier’s network.
Starting this summer, United also will double the total number of early morning departures and late evening arrivals in and out of Denver, giving customers more flexibility and more options to stay away longer.
United will celebrate the expansion later today at Denver International Airport where the airline’s CEO Scott Kirby and Chief Customer Officer Linda Jojo will host customers, elected officials and local partners for a tour of United’s soon-to-open club spaces and a look inside a brand-new Boeing 737 MAX 9 aircraft, one of the planes that will fly some of the new Denver routes and one of about 700 new planes the airline expects to receive in the next decade.
“Denver is one of the fastest growing cities in the country and as the Mile High City’s most flown airline, it’s essential that we maintain the most modern infrastructure and fleet to support our local employees and customers and deliver a great experience,” said United CEO Scott Kirby. “Our expansion in Denver will further enable us to connect our customers to destinations across the globe and revitalize our presence at the airport with modern, customer friendly offerings.”
According to The American Growth Project, Denver is one of America’s fastest growing cities. It not only attracts professionals who work in hybrid environments, but also has retained millennials who lived in Denver when they were younger and decided to stay or return by age 26. Both of those groups want access to more flexible travel options that include a wide range of domestic and international choices.
The airline will add new nonstops to six destinations including four not served by any other Denver airline: Dayton, OH; Greensboro, NC; Lexington, KY and San Juan, Puerto Rico.
The airline’s local infrastructure improvements include 12 new gates set to open in the A and B concourses by the middle of 2024. That will give United 90 total gates, the most at Denver International Airport.
This expansion is part of the carrier’s nearly $1 billion investment to further improve the customer experience in Denver – an increase in gate capacity by 30%, a new check-in lobby, new user-friendly technology at gates, a new grab-n-go club concept called United Club FlySM and the renovation and expansion of United ClubSM locations.
This summer, United will also open a new club on the A Concourse and reopen its first of two revamped clubs on the B Concourse. The B concourse United Club locations will be the largest ever . All three United Club locations will feature two full levels of club space, and an upgraded design that reflects the Colorado region.
Growing United’s Network in Denver
As a result of the airline’s United Next plan, United will expand mainline flying out of Denver to its highest levels in 20 years, while repurposing its regional fleet to fly to smaller, less-served destinations. Overall, United will offer more capacity from Denver than ever before, with over 60,000 departing seats per day.
In total, United will operate 35 new flights in 2023 out of Denver and since 2018, has added over 90 mainline departures per day.
This year, United will fly new 737 MAX aircraft non-stop to San Juan, Puerto Rico, beginning October 29, and Montego Bay, Jamaica*, beginning November 4. In addition to the new routes, United will use its new MAX aircraft to increase service to popular destinations like Miami, Austin, Boston and Atlanta. As United grows its mainline fleet, the airline will use Embraer 175 aircraft to connect Denver with Asheville, NC; Dayton, OH; Greensboro, NC and Lexington, KY, starting on September 29.
United’s new morning flight bank will offer Denver customers expanded flight options to many popular destinations like Dallas/Fort Worth, Las Vegas, Los Angeles, Orlando, Phoenix, Portland, San Diego and Seattle. By doubling the total number of early morning departures and late evening arrivals, customers will have more flexibility and a greater ability to maximize their stays.
This summer, United will fly non-stop to more than 150 destinations from Denver, with over 450 daily departures – more than 50% more flights and destinations than the airline’s nearest competitor. United is proud to be the only airline serving Hawaii non-stop from Denver, with up to five daily flights across Hawaii’s four largest islands. Additionally, with 18 international destinations – more than double any other airline, and the only US carrier serving Europe and Japan – United is the go-to airline for Denver customers traveling across the United States and the world.
New Gates and Clubs
Last year, United began its ambitious concourse expansion, adding 20 new gates across A and B concourses. United plans to open 12 more gates by the middle of 2024, bringing United to an industry-leading 90 gates at the airport. The airline is also investing more than $40 million to update its footprint at 55 existing Concourse B gates by incorporating modern furniture options with in-seat power and new digital signage and self-service kiosks to support customers on their journey.
This summer, United will also open two of three new United Club locations in Denver, including its largest club in the world. Each club will feature elevated design inspired by Colorado as well as modern amenities including self-scan entry gates, Agent on Demand kiosks, free high-speed Wi-Fi, among others. Once open, Denver International Airport will feature approximately 100,000 square-feet of club space across three United Club locations and United Club Fly, the airline’s grab-and-go club format that debuted in 2022.
‘That’s the Denver in Us’ Advertising Debut
Nearly a year after United debuted its first fully integrated national brand advertising campaign in nearly a decade, Good Leads The Way, the brand is localizing its approach to advertising starting with one of its largest hubs: Denver.
‘That’s the Denver in Us” is the story of an airline and a city with a shared DNA that bring out the best in each other. From taking Denver careers to new heights as the largest private employer in the city, to serving as the ideal backdrop to prepare the next generation of pilots at the world’s largest training facility, Denver and United’s more than 85-year history is unique and extends far beyond the arrival and departure gates.
Travelers and the Denver community will see the love letter to the city on local broadcast TV, on digital kiosks in the airport and downtown as well as on billboards around the city. The advertisements also will run on streaming platforms and on United social channels in Denver.
Creating Thousands of Careers
United is the largest private employer in the city of Denver, with nearly 10,000 Denver-based employees and growing. In 2023, the airline plans to hire more than 2,300 people – from ramp agents and customer service representatives, to pilots, flight attendants, maintenance technicians and more.
Overall, in 2022, the airline hired 15,000 people across its network and will add another 15,000 this year – on track to add about 50,000 people by 2026. For more information about United’s recruiting and hiring efforts, visit careers.united.com.
*Flight subject to government approval
SmartLynx Airlines is on its way to becoming the dominant A321-200 P2F operator in Europe. Currently operating six A321F aircraft, the company plans to increase its fleet to 13 by the end of this year to obtain at least four more A321F units by the end of 2024. With this expansion plan, SmartLynx Airlines is well-placed to take the lead in the narrow-body express freight market.
With a maximum payload of 27,000 kg and a range of up to 2300 nautical miles, the A321F is perfectly suited for operations in established express cargo markets. The A321F has a payload capacity of 27 metric tons and a maximum volume of up to 208 m2. It can be loaded with up to 14 full container positions (88’’ x 125’’) on the main deck and up to 10 (LD3-45W) on the lower deck, providing space for various types of cargo. The aircraft has a hydraulically driven, electrically barred main deck cargo door that is 3.65 meters wide and 2.13 meters high and a cargo compartment that is 3.7 meters wide and 34.44 meters long.
With only a handful of A321-200 freighters currently in the skies, SmartLynx Airlines is uniquely positioned to lead the industry with its ambitious growth plans. The company’s confidence in the A321-200F and commitment to superior customer service make it an attractive partner for companies looking for efficient and cost-effective cargo solutions.
SmartLynx Airlines has reached another milestone by reintroducing the A321-200 P2P aircraft. The A321 freighter, registered as YL-LDP and freshly converted by Elbe Flugzeugwerke (EFW), has landed at Riga Airport for the first time, marking the first-ever registration of this aircraft type under a Latvian AOC.
Air Canada today reported a strong operational performance to begin the summer travel season.
Approximately 540,000 customers flew with the carrier between May 19 and 22, the May long weekend in Canada that traditionally marks the start of the summer travel season.
“I am very pleased by the performance of our airline during the first long weekend of the summer. We carried heavy loads, with 540,000 customers and our mainline aircraft 95% full on Friday, yet we achieved a flight completion ratio of 98.7% and a solid on-time performance that reached 90 per cent Sunday morning. Although system-wide weather was favourable, we did face several challenges, including wildfires in Western Canada, weather disruptions in the southern U.S. and even a volcano in Mexico that all affected flights,” said Kevin O’Connor, Senior Vice President, Global Airports and Operational Control at Air Canada.
“I thank all our employees for their hard work and dedication to serving our customers and transporting them safely. I also commend our industry partners, upon whom we depend for the air travel system to operate smoothly. While sustained high passenger loads of the season are yet to fully arrive, our success during the first holiday weekend gives us added confidence that we are ready to perform well this summer.”
British Airways has started the roll out of its brand-new uniform, with more than 5,000 colleagues working in the airline’s engineering, maintenance and airport operations teams across the world wearing the new garments from today.
The uniform, designed by British, Ghanaian Saville Row fashion designer and master tailor, Ozwald Boateng OBE, will be worn by more than 30,000 of the airline’s colleagues in total, later this year. The next stage of the rollout will include British Airways’ cabin crew, pilots and customer facing colleagues in September this year.
More than 128,000 garment items have been ordered by British Airways’ operational ground colleagues, with the new wardrobe offering more choices than ever before. The entire operational collection offers more than 20 unique garments, including a brand-new quilted jacket with a contemporary design featuring a bespoke airwave print. This unique airwave print is a consistent feature across garments in the collection. The jacket has a fleece lining and is showerproof, ensuring colleagues are kept warm and dry. Garments have also been designed with practicality in mind, including additional pockets for tools, detachable tool belts and gloves with touch screen technology.
The entire collection was developed in collaboration with the airline’s colleagues over five years, with more than 1,500 colleagues across the airline volunteering their time to help shape the look and feel. Colleagues took part in more than 50 workshops from design workshops to prototype feedback and garment trials to help create the iconic British designs.
During the design process, Boateng shadowed different airport roles to understand each role’s requirements and ensure the suitability of the designs. Once developed, the new garments were put to the test with secret trials. As part of the trials, deluge showers and freezers at -18 degrees Celsius were used to ensure water resistance and durability of the garments.
As part of the airline’s sustainability programme BA Better World, sustainability has been integral to the design of the new uniforms and the recycling of the old uniforms. As British Airways’ operational ground teams begin to wear their new uniform, they will hand back their current uniform, which will be donated to chosen charities or recycled. The airline is still exploring multiple options for recycling the garments, including creating a sustainable range of merchandise and gifting certain items to the British Airways Heritage Centre.
Hong Kong Airlines will operate flights between Hong Kong and Nagoya every Monday, Wednesday, Friday, and Saturday on July 8, 2023, with daily flights beginning on August 21, 2023.
airBaltic is participating in Airbus’ demonstration tour in Asia, showcasing its latest A220-300 aircraft to customers, international media, and other guests. During the tour, airBaltic’s A220-300 will visit a total of 4 destinations in the region.
Thus far, airBaltic has carried more than 11 600 000 passengers on the Airbus A220-300 aircraft. Airbus A220-300s have completed nearly 133 000 flights and flown over 289 000 block hours.
Qatar Airways has announced a codeshare agreement with Air Seychelles, the flag carrier of the Republic of Seychelles, allowing passengers on both networks seamless travel to one of the world’s most exotic and unique destinations.
Qatar Airways serves over 160 destinations worldwide and connects travellers from Africa, America, Asia and Europe easily to and from Seychelles through its hub in Doha, Hamad International Airport (HIA), currently named the ‘Best Airport in the Middle East’. Moreover, Qatar Airways Privilege Club members can also earn and spend Avios at almost 200 outlets at Qatar Duty Free (QDF).
Currently, Qatar Airways operates a daily flight between HIA and Seychelles International Airport (SEZ), located on the Island of Mahé, near the capital city of Victoria, with a morning arrival and evening departure from Mahé Island. Because of this new codeshare agreement, Qatar Airways will place its code on Air Seychelles’ operated flights between Mahé and Praslin and enable passengers to continue their journey conveniently using a single booking. Praslin is home to the pristine Vallée de Mai Nature Reserve and UNESCO World Heritage Site along with palm-fringed beaches, like Anse Georgette and Anse Lazio, both bordered by large granite boulders. Passengers can book their travel with both airlines, through online travel agencies, as well as with local travel agents.
Air Seychelles maintains its domestic network with a fleet of five Twin Otter TurboProps operating between Mahé and Praslin as well as charter flights. The airline celebrated 45 years in October 2022 and won the title ‘Indian Ocean’s Leading Airline’ at the World Travel Awards held in Kenya.
The Lufthansa Group purchases four additional ultra-modern Airbus A350-900 long-haul aircraft. The aircraft will be acquired from Deucalion Aviation Limited and delivered to the Group still this year.
Lufthansa currently operates 21 Airbus A350-900s and has ordered five more A350-900s and ten A350-1000s as recently as March 2023. In total, Lufthansa holds 38 firm orders for this highly efficient Airbus long-haul aircraft, making it the world’s third-largest Airbus A350 customer.
Northern Pacific Airways is ready to fly scheduled passenger flights. The first revenue flight will be from Ontario, California (ONT) to Las Vegas (LAS) on June 23 with the first Las Vegas outbound flight on June 25 back to Ontario.
Video:
Top Copyright Photo: Northern Pacific Airways Boeing 757-2B7 WL N628NP (msn 27809) ONT (Michael B. Ing). Image: 959235.
Advanced Air, the Los Angeles-based public charter airline, and Mammoth Lakes Tourism announced today that summer flights direct between Mammoth Lakes and Southern California’s Los Angeles and San Diego will resume June 30th – September 4th.
Advanced Air will provide two semi-private flights a week (Fridays and Sundays) straight into the Mammoth Yosemite Airport (MMH) from Hawthorne (HHR) in 55 minutes and Carlsbad (CLD) in 85 minutes. Travelers will fly in and out of private terminals, avoid airport traffic and long security lines and TSA. Free shuttle service will continue to be offered to/from the Hawthorne Municipal Airport for travelers arriving into LAX from an outside destination, providing easy summer access to Mammoth Lakes from anywhere in the world.
Route Map:
Ryanair Holdings plc reported a Q4 loss of €154m but a full-year PAT of €1.43bn, compared to a PY loss of (€355m), due to strong FY traffic recovery, improving fares, industry leading cost base and advantageous fuel hedges.
Ryanair’s Michael O’Leary, said:
ENVIRONMENT:
“Passengers who switch to Ryanair (from EU legacy airlines) can reduce their emissions by up to 50% per flight. Over the past year, we made significant progress to become net carbon neutral by 2050. Our new, fuel efficient, B737 “Gamechangers” (4% more seats, but 16% less fuel) increased to 98 aircraft at year end, and we began to retrofit scimitar winglets on our B737NG fleet which will further cut fuel burn by 1.5%.
We are working hard to achieve ambitious 2030 goals of powering 12.5% of Ryanair flights with SAF. We have recently expanded our SAF partnerships with Neste (Schiphol), OMV (Austria, Germany and CEE) and Shell (in London and Dublin) by announcing a multi-year MOU with Repsol to supply Ryanair bases in Spain. Through A4E, and the EU, we are campaigning to accelerate reform of European ATC to eliminate avoidable flight cancellations/delays (something urgent in light of repeated French ATC strikes in Q1), which will substantially lower fuel consumption and CO₂ emissions. We urge all EU consumers to sign our “Protect Overflights” petition on www.ryanair.com.
Ryanair is Europe’s No.1 ranked EU airline for ESG by Sustainalytics[1]. During FY23, MSCI increased our ESG rating to ‘BBB’ (from ‘B’) and CDP reconfirmed Ryanair’s industry leading (‘B’) climate rating for 2023.
SOCIAL :
Ryanair’s commitment to maintaining jobs and keeping skills current through the 2-years Covid crisis, albeit with Govt. payroll support and temporary pay cut agreements with union partners (now restored, over 2 years sooner than planned), maximised our crew jobs security while our competitors cut thousands of jobs. It also meant that Ryanair was fully staffed to operate its S.22 schedule, while many competitors cancelled capacity (often at short notice) in the face of severe staff shortages. Following a strong H1 performance, Ryanair fully restored pay (some 28 months early) by agreement with our unions on new long-term multi-year pay agreements.
As Ryanair grows traffic to 225m p.a. by FY26 and 300m by FY34, our Group will create over 10,000 new jobs for highly paid pilots, cabin crew, and engineers. Over the past year we recruited and trained over 3,000 new crew members (incl. 1,000 pilot cadets). The Group opened new engineering facilities in Bergamo (Italy), Malta, Kaunas (Lith.) and Shannon (Ire.) and recently announced a €40m new Dublin maintenance centre (creating over 200 engineering jobs). These new facilities and fleet growth enables us to create cadet positions and apprenticeships for school leavers, bringing through the next generation of highly skilled aviation professionals. Ryanair Labs is actively recruiting IT & digital professionals to join our dev. teams in Dublin, Madrid, Porto and Wroclaw.
Ryanair’s strong S.22 operational resilience (despite multiple ATC delays/strikes, airport security/handling staff shortages) meant we delivered industry leading capacity recovery and OTP for our customers. This was reflected in FY23’s CSAT score of over 85%, with “crew friendliness” our top score (rated over 95%). This summer, in anticipation of further ATC disruptions, we have invested heavily in our operations (increased crew ratios, doubled the size of our ops centres, enhanced day-of-travel app. and we continue to improve customer comms.) to ensure that our passengers and crews continue to enjoy Ryanair’s industry leading OTP and reliability.
GOVERNANCE:
In recent months, 3 new NEDs (Eamonn Brennan, Elisabeth Köstinger and Anne Nolan) have joined the Ryanair Board. Our Chairman (Stan McCarthy) has also refreshed our Board Committees. Dick Milliken, having successfully overseen the rotation of external auditors (from KPMG to PwC) during FY23, has chosen not to seek re-election at the 2023 AGM in Sept. To facilitate experienced management of the Group, orderly succession and the onboarding of new NEDs, Louise Phelan has agreed to remain on the Board for one more year. Over the past year, Ryanair’s EU ownership has increased from 41% to 46% at year end.
GROWTH:
Ryanair’s market share has grown significantly in most EU markets as we operated 116% of our pre-Covid capacity in FY23. Most notable gains were recorded in Italy (from 27% to 40%), Poland (26% to 36%) and Ireland (49% to 58%). This summer we will operate our largest ever schedule (almost 2,500 routes with over 3,000 daily flights), capitalising on traffic restoration, and multi-year growth deals negotiated by our New Route teams. Structural EU capacity reductions following numerous EU airline failures or fleet reductions during Covid, high oil prices (discouraging weaker, unhedged, airlines from adding capacity), a shortage of aircraft (new & leased) and the return of Asian and American visitors to Europe (due to the very strong US$) means that while S.23 European short-haul capacity remains below pre-Covid levels, demand is notably robust. Forward bookings and air fares currently into S.23 are strong and we continue to urge all customers to book early to avoid rising “close-in” prices.
We expect European airlines will continue to consolidate over the next 2 years and it seems likely they will deploy capacity in a disciplined manner. The large backlog of OEM aircraft deliveries is likely to constrain capacity growth in Europe for at least 4 more years which confers a considerable growth premium on Ryanair’s remaining 110 B737 Gamechangers deliveries over the next 3 summers. Our widening unit cost advantage over all competitors, our fuel hedging, strong balance sheet and our very low-cost aircraft order book, as well as our proven operational resilience, creates enormous growth opportunities for Ryanair over the coming years.
FY23 BUSINESS REVIEW:
Revenue & Costs:
FY23 scheduled revenue grew over 160% to €6.93bn. Following a disappointing Q1 (when traffic was badly impacted by Russia’s invasion of Ukraine on 24 Feb. 2022), strong travel demand through the remainder of the year saw traffic rise 74% at higher fares (+10% on pre-Covid). Ancillary sales delivered a solid performance, generating just under €23 per passenger (€3.84bn). Total FY23 revenue rose 124% to €10.78bn. Total operating costs rose 75% to €9.20bn, driven by higher fuel costs (+113% to €3.90bn, offset by favourable fuel hedges and improved fuel burn as more Gamechangers entered the fleet), crew pay restoration and 74% traffic growth. Ex-fuel operating costs rose 54%, which was well below traffic growth, and unit costs (ex-fuel) were just €31 as Ryanair’s cost advantage over all other EU competitors widened substantially as we predicted it would. Our industry leading fuel hedging (over 80% hedged at approx. $64bbl) contributed significantly to the final FY23 profit outcome, saving the Group over €1.4bn.
FY24 jet fuel requirements are almost 85% hedged at approx. $89bbl (with a mix of forwards and caps) and 25% of H1 FY25 is covered at $77bbl. Just over 90% of FY24 €/$ opex is hedged at 1.08 and 38% of H1 FY25 is covered at 1.11. Our B-8200 “Gamechanger” order book is fully hedged at €/$ 1.24 which further lowers the cost of these new aircraft compared to many competitors who are engaged in expensive (and getting more expensive) leasing to grow their fleet even as interest rates are rising.
Balance Sheet & Liquidity:
Our balance sheet is one of the strongest in the industry with a BBB+ credit rating and €4.7bn gross cash at year-end, despite an €850m bond repayment in March 2023. Almost all the Group’s B737 fleet are owned and 99% are unencumbered, which significantly widens our cost advantage, as interest rates and leasing costs continue to rise for competitors. Thanks to our strong booking recovery, improving air fares and Boeing delivery delays, net cash at 31 Mar. was €0.56bn (compared to net debt of €1.45bn at 31 Mar. 2022), despite over €1.9bn capex. (Capex was c.€450m lower than expected due to Boeing delivery delays – now timed into FY24). Earlier this month Ryanair converted its unsecured €750m syndicated term loan into a revolving credit facility (at a lower margin) with an extended maturity to May 2028 (was 2024). Over the coming months we will repay a €750m maturing bond in Aug. and fund over €2.6bn capex (FY24 is the peak capex year under the “Gamechanger”order) while planning to retain a broadly flat net cash/debt position. We will continue to preserve cash to minimise financing costs as we face considerable annual aircraft capex of over €2bn p.a. from 2027 onwards.
AIRCRAFT ORDERS:
Earlier this month, Ryanair signed an agreement to purchase 300 new Boeing 737-MAX-10 aircraft (150 firm and 150 options), which is subject to AGM approval on 14 Sept. next. These, fuel efficient, aircraft have 228 seats (21% more than our B737NGs) and phased deliveries between 2027 and 2033. We expect 50% of the order will be used to replace older NGs, while the remainder will facilitate disciplined traffic growth to approx. 300m p.a. by FY34 (an 80% increase over FY23’s traffic). Apart from delivering significant revenue growth, the additional seats (coupled with greater fuel, carbon and noise efficiency) will further widen Ryanair’s considerable unit-cost advantage over all European competitor airlines. Given the strength of the Group’s balance sheet, our strong credit ratings and the 2-year gap between the delivery of the final B-8200 “Gamechanger” in late Dec. 2024 and the first MAX-10 in early 2027, we anticipate that capex will be funded primarily from internal resources (although the Group will remain opportunistic in its financing decisions).
As a result of Boeing’s recent B737 delivery disruptions, we expect to be short (up to 10) B-8200s for peak (June & July) S.23 schedules. To facilitate Boeing, and to assist their resumption of scheduled B-8200 deliveries this autumn, we will take delivery of aircraft through July (and possibly into Aug.). We hope and expect that Boeing will recover quickly from this recent delay to minimise its impact on our FY24 traffic growth and profitability.
OUTLOOK:
This year Ryanair hopes to grow traffic to approx. 185m (+10%), although Boeing’s recent delivery delays may push some of this growth into the lower yielding H2 and may reduce this target slightly. Our FY24 fuel bill will increase by over €1bn due to higher oil prices (despite our more fuel-efficient fleet). While we continue to enjoy a significant cost advantage over competitor airlines, we expect to record a modest increase in unit costs (ex-fuel) as annualised crew pay restoration, higher crew ratios this summer and increased enroute charges will not be fully offset by B737 Gamechanger deliveries in H1. To date, S.23 demand is robust, and peak S.23 fares are trending ahead of last year. Q1 fares, which benefitted from a strong Easter in April (and a very weak PY comparable due to Russia’s invasion of Ukraine), will be significantly higher than Q1 FY23.
Despite ongoing uncertainty over the timing of Boeing deliveries, almost 15% unhedged fuel, limited Q2 visibility and zero H2 fare visibility (normal at this time of year), we are cautiously optimistic that FY24 revenue will grow sufficiently to cover our €1bn higher fuel bill and still deliver a modest year-on-year profit increase. This guidance remains heavily dependent upon avoiding adverse events during FY24 (such as the war in Ukraine or further, repeated, Boeing delivery delays).”
AerCap Holdings N.V. today announced it has signed lease agreements for two used Boeing 737-8 MAX aircraft with ASKY, The Pan-African Airline, headquartered in Togo. The aircraft are scheduled to deliver June through August 2023.
In attendance at the announcement ceremony were the CEO of ASKY, Esayas W. HAILU, the CEO of AerCap, Aengus Kelly, the Board Chairman of Ethiopian Airlines Group and Aviation Advisor to Togo, Mr. Girma Wake, Board members of ASKY, and other distinguished guests.
According to Reuters, Georgian Airways has banned the president of Georgia (Salome Zourabichvili) from using its services after she said she would boycott the airline over its resumption of flights to Russia, Russia’s TASS news agency reported on Sunday.
Read the full report from Reuters:
United Airlines today became the first U.S. airline to support Live Activities for iPhone, giving customers real-time access to their boarding pass, gate and seat number, and countdown clock to departure time on their Lock Screen or while unlocked in the Dynamic Island, all without opening the United app.
United customers check their mobile boarding pass and flight status nearly 800,000 times each day, and this new feature makes it even easier and faster for United flyers to receive timely updates and find important flight details.
Live Activities helps United customers with iPhones stay informed in real time, so they can see live flight updates, flight details and alerts right on the Lock Screen or in the Dynamic Island on iPhone 14 Pro and iPhone 14 Pro Max.
With a quick glance at the iPhone screen, customers can:
Support for Live Activities has started to roll out to United travelers and will be widely available by the end of May. To experience the new features, customers should verify that their iPhone is running iOS 16.1 or later and their United app is up to date.
With up to three million users interacting with the app daily, United’ mobile app is recognized for its accessibility options for the visually impaired, personalization options and improved navigation. The air carrier has consistently rolled out industry-leading app features in recent years, including:
Top Copyright Photo: United Airlines Boeing 757-324 WL N74856 (msn 32815) LAX (Michael B. Ing). Image: 960580.
United Airlines aircraft photo gallery (Boeing):
Frontier Airlines’ CEO Barry Baffle is calling for the return of Rule 240 for cancelled flights. Rule 240?
Read the full story from the TheStreet:
https://www.thestreet.com/travel/frontier-airlines-ceo-proposes-a-passenger-friendly-law
Top Copyright Photo: Frontier Airlines (2nd) Airbus A321-251NX WL N603FR (msn 11032) (America’s Green Airline) FLL (Tony Storck). Image: 960579.
Frontier Airlines aircraft photo gallery:
