Budget airline Ryanair (LON:RYA) issued a surprise trading statement this morning, raising its full year net profit guidance by 25%.
The guidance has been adjusted up from from between 940 million to 970 million euros, to a new range of 1.175 billion to 1.225 euros due to stronger than expected peak summer traffic.
The company have recently launched “Always Getting Better”, a customer service programme designed to attract and retain more customers which appears to be working; traffic growth rose by 13 percent in the first half of 2015.
Ryanair cite bad weather in northern Europe and the strength of the British pound as reasons for its strong summer performance.
Ryanair CEO Michael O’Leary said:
“During a year when Ryanair will grow traffic by more than 13m customers p.a. it’s clear that consumers all over Europe are delighted by and are switching to, our “Always Getting Better” customer experience programme, our industry leading punctuality and our unbeatable low fares.”
However, he warned investors to “avoid irrational exuberance”, saying that their success may not be as strong during the Winter season, as they expect “attritional and sustained fare wars across Europe”.
Ryanair is currently trading up 7.34 percent at 13.90 pence per share.
