Ryanair 2016 Annual Report Download - page 96

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comparative arising from the earlier loading of the schedules and the impact of being without a car hire provider for much
of quarter 2, fiscal 2016.
The following table sets forth the components of ancillary revenues earned by Ryanair and each component
expressed as a percentage of total ancillary revenues for each of the periods indicated:
Fiscal Year Ended March 31,
2016
2015
(in millions of euro, except percentage data)
Non-flight Scheduled
1,329.6
84.8
%
1,164.4
83.5
%
In-flight Sales
153.4
9.8
%
128.1
9.2
%
Internet-related
85.6
5.4
%
101.2
7.3
%
Total
1,568.6
100.0
%
1,393.7
100.0
%
Operating expenses. As a percentage of total revenues, Ryanair’s operating expenses decreased from 81.5% in
the 2015 fiscal year to 77.7% in the 2016 fiscal year. Total revenues increased by 15.6%, faster than the 10.1% increase in
operating expenses. In absolute terms, total operating expenses increased 10.1%, from €4,611.1 million in the 2015 fiscal
year to €5,075.7 million in the 2016 fiscal year, principally as a result of increased costs associated with the growth of the
airline. Fuel and oil expenses, route charges, depreciation, maintenance, materials and repairs and aircraft rentals decreased
as a percentage of total revenues, while airport and handling charges, staff costs and marketing, distribution and other costs
increased. Total operating cost per passenger decreased 6.3%, with the decrease reflecting, principally, an 11.5% reduction
in per passenger fuel costs and ex-fuel costs decreasing by 2.4%.
The Company’s decision to ground aircraft during the winter months did not have a material impact on the results
of the Company for the year ended March 31, 2016 and, at present, is not anticipated to have a material impact on future
operations. The Company anticipates that any revenues which could have been generated had the Company operated the
grounded aircraft would have been lower than the operating costs associated with operating these aircraft, including fuel
costs, airport charges and taxes. The Company does not anticipate that any material staff costs will be incurred during
future periods of the grounding of aircraft, as the relevant crews can be furloughed under the terms of their contracts
without compensation and the maintenance costs associated with the grounded aircraft will be minimal. However, the
Company will still incur aircraft ownership costs comprised of depreciation and amortization costs, lease rentals costs and
financing costs.
The following table sets forth the amounts in euro cent of, and percentage changes in, Ryanair’s operating
expenses (on a per-passenger basis) for the fiscal years ended March 31, 2016 and March 31, 2015 under IFRS. These data
are calculated by dividing the relevant expense amount (as shown in the consolidated financial statements) by the number
of booked passengers in the relevant year as shown in the table of “Selected Operating and Other Data” in Item 3 and
rounding to the nearest euro cent; the percentage change is calculated on the basis of the relevant figures before rounding.
Fiscal Year
Fiscal Year
Ended
Ended
March 31,
March 31,
2016
2015
% Change
€
€
Fuel and oil
19.47
22.00
(11.5%)
Airport and handling charges
7.80
7.87
(0.9%)
Route charges
5.85
6.05
(3.2%)
Staff costs
5.50
5.55
(1.0%)
Depreciation
4.02
4.17
(3.7%)
Marketing, distribution and other
2.75
2.58
6.5%
Maintenance, materials and repairs
1.22
1.49
(17.8%)
Aircraft rentals
1.08
1.21
(10.5%)
Total operating expenses
47.69
50.92
(6.3%)