Ryanair : FY 20 Presentation

FY20 Results

E u r o p e 's L ow e s t C o s t A i r l i n e G r o u p

• Lowest fare/lowest cost airline group
• No. 1, Traffic - FY20 149m guests (+4%)
• No. 1, Cover - 242 airports/2,100 routes
• C-19grounds fleet Mar to Jul
• Strong balance sheet
• Financial strength + Lowest cost = Long term winner

2

2

E u r o p e 's L ow e s t Fa r e s

	Avg. Fare	Change	% > Ryanair
Ryanair	€37	+2%
Wizz	€47	+3%	+27%
easyJet	€59	-3%	+59%
Norwegian	€99	+9%	+168%
Lufthansa	€178	+1%	+381%
IAG	€190	-	+414%
AF/KLM	€213	+1%	+476%
Avg Competitor Fare	€131		+254%
	(Source: FY results/Annual Reports)

33

E u r o p e 's L ow e s t C o s t s W i n s !

€ per pax	RYA	WIZ	EZJ	NOR	E'Wings	LUV
Staff/efficiency	7	6	10	19	20
55
Airport & Hand.	8	11	22	19	18	9
Route Charges	5	5	5	7	7	0
Own'ship & maint.	7	15	9	28	21	17
S & M other	4	2*	7	14	28	20
Total	31	39	53	87	94	101
%> Ryanair		+26%	+71%	+181%	+203%	+226%
		* Wizz Air incl. "one-off" exceptional gain on aircraft disposals

4

4

F Y 2 0 Re s u l t s - P r e exc e p t i o n a l s

	Mar 19	Mar 20
Guests (m)	143	(i)	+4%
149
Rev per Pax	€54	€57	+6%
Avg fare	€37	€37	+2%
Ancills per Pax	€17	€20	+16%
Unit Costs (ex fuel)	€30	€31	+4%
PAT(m)	€885	(ii)	+13%
€1,002

(i) On target for 154m pre-Covid-19 in March 2020 (ii) Excl. exceptional €353 hedge ineffectiveness charge

55

S t r o n g B a l a n c e S h e e t

€'bn	31 Mar 19	31 Mar 20

Assets 10.06 10.94

Cash 3.19 3.81

Total 13.25 14.75

Accruals 4.39 5.57

Debt 3.64 4.21

S/H Funds	5.22		4.97

Total 13.25 14.75

Net Debt

0.45

0.40(i)

(i) Incl. Leases €0.25bn (not in FY19 prior year)

Incl. 330 debt free B737 (€7bn val)

Cash burn: €200m per wk pre Covid €60m per wk post Covid

6

6

C u r r e n t D eve l o p m e n t s

• C-19grounds 99% of fleet mid-March to Jul
• UK CCFF £600m drawn down (BBB credit)
• Bal Sheet strength - €4.1bn cash, 330 B737s debt free (€7bn)
• Cost Savings / Cash burn cut to €60m per week

Get Europe flying - 40% of normal schedule Jul

• • Public health - masks / temp checks
  • Isolation is ineffective & unenforceable
  • Arbitrary exclusions (Ire & Fra)
• MAX deliveries Oct to Mar (subject to Sept RTS)
• Senior Board changes from June

77

S u d d e n I m p a c t o f C ov i d - 1 9

Pax (m)	Budget	Actual	Chge	%
Jan	10.7	10.8	0.1	+1%
Feb	10.4	10.5	0.1	+1%
Mar	11.6	5.7	(5.9)	-51%
Apr	13.6	0.04	(13.6)	-99%
May	14.3	0.05	(14.3)	-99%
Jun	14.6	0.06	(14.5)	-99%

8

8

Re t u r n t o S e r v i c e - Ju l y

• 40% scheduled flights from Jul, 60% from Aug
• Subject to Govt restrictions
• Health measures incl. masks, temp checks & HEPA air filters
• Thousands of EU airline job losses
• Seat sales to stimulate demand = weaker yields for FY21
• EU Govs must comply with State Aid rules
• Pressure on yields from flag carrier below cost selling

9

9

C o s t S av i n g s & C a s h B u r n

• Cancelled share buyback
• Grounded fleet, pay cuts (50% Apr/May), wage support schemes
• Reduced op. spend &non-essential capex
• Payment deferrals
• WIP: Base closures

Pay cuts & up to 3,000 job losses

New apt & handling deals

MAX deliveries (-16% fuel/4 extra seats)

Fleet review (B737s & A320s)

• Weekly avg cash burn down: €200m to €60m

10

10

F u e l h e d g i n g & i n e f fe c t i ve n e s s

• 90% expected FY21 fuel vol hedged preC-19 crisis
• Fleet grounded - excess fuel hedges for FY21
• €353m ineffective P&L charge now (FY20) on excess FY21 fuel vol
• Some P&L volatility in FY21: ineffective hedges MTM each qtr
• Possibly more ineffectiveness if slower RTS
• FY22: 31% jet hedged @ $541 (65% €/$ @ $1.15)

11

11

S t at e A i d - Jo b L o s s e s

State Aid

Lufthansa€12.4bn

AirFrance/KLM €10.1bn

Alitalia€3.5bn

TUI Group

€1.8bn

SAS€0.8bn

Finnair€0.7bn

Condor€0.6bn

Norwegian€0.3bn

Job Losses

BA12,000

Lufthansa10,000

TUI Group

8,000

SAS5,000

Norwegian5,000

Virgin3,150

Ryanair3,000

Wizz1,000

20% pay cuts, up to 3,000 job cuts (pilots & cabin crew)

12

12

B o e i n g 7 3 7 M A X u p d at e

• 210 orders (135 firm, 75 options)
• USA RTS Sept 2020
• Target delivMAX-200 Oct - Subj to RTS in Sept
• Gamechanger: 4% more seats, 16% less fuel
• Envir savings:-16% emissions, -40% noise
• Lower cost MAX drive EU mkt share gains postC-19
• Boeing talks can't conclude until RTS successful

13

13

B o a r d U p d at e

• Stan McCarthy new Chair from June
• Louise Phelan new SID from June
• D Bonderman & K McLaughlin leave Board end May
• Gender diversity: 40% female
• Committee Chairs refreshed

Audit: Dick Milliken

RemCo: Julie O'Neill

NomCo: Stan McCarthy

14

14

F Y 2 1 O u t l o o k

• No FY21 guidance dueC-19 uncertainty (Q1 loss > €200m)
• Base closures & 3,000 job losses plus 250 office jobs
• Strong liquidity & cash preservation measures
• Pay cuts, job losses & lower airport costs
• Expect low fares to drive strong volumes in RTS
• State aid will drive down air fares - below cost selling
• Ryr has lowest fares
• Competitors fail or cut capacity postC-19 to drive mkt share

15

15

D i s c l a i m e r

Certain of the information included in this presentation is forward looking and is subject to important risks and uncertainties that could cause actual results and developments to differ materially from those expressed in or implied by such forward-looking statements. By their nature, forward-looking statements involve risk and uncertainty because they relate to events and depend upon future circumstances that may or may not occur. In addition, forward looking statements require management to make estimates and judgements about future events that are inherently uncertain. Although these estimates and judgements are based on management's best information available at the time, actual results may differ significantly from these estimates. A number of factors could cause actual results and developments to differ materially from those expressed or implied by the forward-looking statements including those identified in this presentation and other factors discussed in our Annual Report on Form 20-F filed with the SEC. It is not reasonably possible to itemise all of the many factors and specific events that could affect the outlook and results of an airline operating in the European economy. Among the factors that are subject to change and could significantly impact Ryanair's expected results are the airline pricing environment, fuel costs, "Brexit", competition from new and existing carriers, market prices for replacement aircraft, costs associated with environmental, safety and security measures, actions of the Irish, U.K., European Union ("EU") and other governments and their respective regulatory agencies, fluctuations in currency exchange rates and interest rates, airport access and charges, labour relations, the economic environment of the airline industry, the general economic environment in Ireland, the UK and Continental Europe, the general willingness of passengers to travel and other economics, social, health pandemics (such as Covid-19) and political factors and flight interruptions caused by volcanic ash emissions or other atmospheric disruptions. These and other factors could adversely affect the outcome and financial effects of events or developments referred to in this presentation on the Ryanair Group. Forward looking statements contained in this presentation based on trends or activities should not be taken as a representation that such trends or activities will continue in the future.

Except as may be required by the Market Abuse Rules of the Central Bank of Ireland, Listing Rules of Euronext Dublin or by any other rules of any applicable regulatory body or by law, the Company disclaims any obligation or undertaking to release publicly any updates or revisions to any forward statements contained herein to reflect any changes in the Company's expectations with regard to any change in events, conditions or circumstances on which any such statement is based.

This presentation contains certain forward-looking statements as defined under US legislation. By their nature, such statements involve uncertainty; as a consequence, actual results and developments may differ from those expressed in or implied by such statements depending on a variety of factors including the specific factors identified in this presentation and other factors discussed in our Annual Report on Form 20-F filed with the SEC

16

16