Ryanair Q2 2027: Revenue Beats but Fuel Costs Gut Earnings Per Share
As seen on the 24/7 Wall St. homepage on November 2, 2026.
Ryanair's unhedged jet fuel cost doubled, leaving profit per share missing expectations even as revenue topped estimates. Management refused to give FY27 profit guidance and flagged a roughly 2 billion euro jump in next year's fuel bill as cheap hedges roll off.
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Ryanair posted Q2 FY27 revenue of $6.38 billion, beating expectations and rising about 4% from the same quarter a year earlier.
Reported GAAP earnings per share of $1.72 came in missing expectations, as fuel and oil costs surged 13% to $1.92 billion. The unhedged jet fuel price roughly doubled with 20% of supply exposed, dragging profit after tax down 6% year over year.
For FY28 the airline has only 25% of fuel covered at around $95 per barrel, and management has flagged a roughly 2 billion euro increase in the FY28 fuel bill at current forward prices. O'Leary said European short-haul fares are expected to rise materially, but still unlikely to fully offset that cost jump.
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Because FY28 hedging is so sparse and forward fuel prices remain volatile, management declined to issue any FY27 profit guidance, citing limited booking visibility and unresolved geopolitical risks. Q3 demand is strong with fares trending modestly above last year, but close-in bookings leave the quarter's fare outcome unsettled.
The board declared a new €800 million share buyback starting in February, and the long-run plan to reach over 300 million passengers annually by FY34 remains intact. The near-term earnings risk sits squarely in how unhedged fuel prices move through the rest of the fiscal year.