Low-cost airline Ryanair has reported half-year after-tax profits up 39 per cent to € 88.0 million while passenger traffic is up 37 per cent to 5.3 million.
"This is a great set of results bearing in mind that the half year covers both the foot-and-mouth outbreak in the UK at the beginning and the tragic events of September 11th in the US at the end, both of which negatively impacted air travel in Europe," Ryanair chief executive Mr Michael O'Leary said in a statement.
He said there were growth and cost-reduction opportunities for Ryanair in the current environment and reiterated opposition to aid for national carrier airlines.
The Irish-based company said its second-quarter operating profit rose to € 72.3 million, from € 52.9 million in the same period a year ago, while passenger load factors for the first half of 2001 increased to 77 per cent from 74 per cent a year ago.
The company said its operating margins, unlike other carriers, increased to 29 per cent for the half year from 28 per cent in the first half of last year, while net margins rose to 25.6 per cent from 23.8 per cent.
Mr O'Leary said that while the September hijack airline attacks in the United States had a "traumatic impact" on the airline business, he saw growth opportunities opening as competitors such as Aer Lingus, British Airways and Alitalia withdrew from some routes.
He also noted that Germany's Lufthansa and Scandinavian Airlines System (SAS) had announced their intention to "pull out of Stansted altogether" - bowing out of one of Ryanair's biggest hubs in Britain.
Mr O'Leary said "Aircraft prices have declined and we expect this to continue. Airport maintenance and handling contracts are presently being renegotiated and we expect to achieve efficiencies from these suppliers in return for delivering increased growth.
Mr O'Leary reiterated Ryanair's opposition to bailout plans proposed for some state-owned or largely state-owned European airlines which have suffered dramatic losses in the wake of the September 11th.
"The notion (for example) that (Belgian carrier) Sabena, having lost money for 39 of the last 40 years, can suddenly be restored to viability with one more tranche of state aid is a fantasy," he said.