Ryanair continues to focus on 737 and orders 300 new planes: 40 bn deal
Ryanair has ordered 300 new Boeing 737-MAX-10 aircraft (150 fixed and 150 options) for delivery between 2027 and [...]
Ryanair
Ryanair has ordered 300 new Boeing 737-MAX-10 aircraft (150 fixed and 150 options) for delivery between 2027 and 2033. Once finalized and subject to the exercise of all options, this deal is valued at over $ 40 billion at current list prices and is the largest order ever placed by an Irish company. Given the size and scope of the transaction, it will be subject to shareholder approval at Ryanair's AGM on September 14.
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Boeing's new aircraft Fuel-efficient B737-MAX-10 has 228 seats (the 21% more than the B737NG) and phased deliveries between 2027 and 2033 will enable Ryanair to create more than 10,000 new highly paid jobs for pilots, cabin crew, and engineers , to facilitate the growth of the 80%'s disciplined traffic from 168 million at the end of March 2023 to 300 million per year. by March 2034. Ryanair anticipates that the 50% of these deliveries will replace older B737NGs, which will allow Ryanair to continue operating one of the youngest, most fuel-efficient, and environmentally sustainable aircraft fleets.
In addition to the very significant revenue growth that this new order offers Ryanair, the extra seats (combined with improved fuel and carbon efficiency) will further broaden Ryanair's unit cost advantage over all competing EU airlines. This new order will enable Ryanair to deliver sustained traffic and tourism growth at lower fares (and lower emissions per flight) in all European countries where Ryanair continues to lead the recovery in traffic, tourism, and jobs post Covid.
RYR Fleet Ryanair, MaltaAir, Buzz parked at Ramp C, Renton Field
Given the strength of the Ryanair Group's balance sheet, its industry-leading credit rating, and the ca. After a 2-year gap between the last delivery of the B-8200 "Gamechanger" aircraft in FY25 and the first delivery of the MAX-10 in FY27, the Group expects capital expenditures to be substantially financed by internal cash flows, although the Group will remain opportunistic in its fleet financing strategy.
Boeing President and CEO Dave Calhoun said, "The Boeing-Ryanair partnership is one of the most productive in the history of commercial aviation, enabling both companies to succeed and expand affordable travel to hundreds of millions of people. Nearly a quarter century after our companies signed our first direct airplane purchase, this historic agreement will further strengthen our partnership.We are committed to delivering results for Ryanair and helping Europe's largest airline group achieve its goals by offering its customers the lowest fares in Europe."
Ryanair Group CEO Michael O'Leary said, "Ryanair is pleased to sign this record order for up to 300 MAX-10s with our airline partner Boeing. These new fuel-efficient, greener-technology aircraft offer 21% more seats, consume 20% less fuel, and are 50% quieter than our B737-NGs.This order, along with our remaining Gamechanger deliveries, will create 10,000 new jobs for high-paying aviation professionals over the next decade, and these jobs will be located in all major European economies where Ryanair is currently the No. 1 or No. 2 Airline.
In addition to providing significant revenue and traffic growth throughout Europe, we anticipate that these new larger, more efficient and greener aircraft will provide additional unit cost savings, which will be passed on to passengers with lower airfares. The extra seats, lower fuel consumption and more competitive aircraft prices supported by our strong balance sheet will widen the cost gap between Ryanair and competing EU airlines for many years to come, making the Boeing MAX-10 the ideal aircraft order for Ryanair's growth, our passengers, our people and our shareholders."
