Irish election fight ducks Brexit but victor won’t 4 Feb 2020 Prime Minister Leo Varadkar may be ousted at the weekend. The campaign has been dominated by housing and healthcare concerns and politicians of all stripes are responding with spending pledges. The winner will struggle to deliver unless Britain’s EU trade negotiations go well.
Rising fares squeeze Ryanair’s budget mantra 10 Jan 2020 The low-cost carrier lifted its full-year earnings forecast by 17% after a bumper holiday season. Boss Michael O’Leary can thank Thomas Cook’s demise and grounded 737 MAX planes for dearer tickets. But price hikes dent the halo of the self-appointed patron saint of cheap flights.
Ryanair’s ascent could yet hit a 737 MAX ceiling 4 Nov 2019 The European budget carrier’s shares have soared, mainly since a price war is proving less painful than feared. Yet darker clouds lie ahead. Delays in reviving the troubled jet are crimping growth in passengers. Without the more efficient plane, costs will be harder to control.
Irish bookie’s $6 bln deal is worth a flutter 2 Oct 2019 Paying a 38% premium usually raises eyebrows. Not so with Paddy Power parent Flutter Entertainment’s all-share acquisition of Toronto-based Stars Group. Cost savings alone almost justify the price. Meanwhile a revenue boost looks credible as legal U.S. sports betting opens up.
Ryanair boss’s bonus gets an apt level of anger 19 Sep 2019 Almost half the budget airline’s shareholders voted against a package that could see CEO Michael O’Leary get 99 mln euros over five years. They stand to gain if he hits his targets. But given it looks relatively easy to do so they are right that it’s only barely acceptable.
Brexit pulls Ireland out of ECB force field 30 Jul 2019 Yields on Irish bonds have been rising even as they fall across the euro zone. Fear of a chaotic UK exit from the EU outweighs hope of European Central Bank easing. Dublin lacks its own currency or control of monetary policy. Public spending will have to cushion any shocks.
Irish central banker job glitch may be a blessing 11 Jun 2019 The government was thrilled to recruit a New Zealand Treasury official as its new governor. Now he faces an investigation about how he handled early accessing of budget information. If things go wrong, Ireland has a second chance to give Deputy Governor Sharon Donnery the job.
Ryanair left dependent on pricier sandwiches 20 May 2019 The budget carrier’s costs soared due to expensive fuel and the need to pay pilots more. Boss Michael O’Leary can’t do much about that, nor the price war Ryanair has flown into. The only way to get margins back up is to sell customers even more pricier in-flight stuff.
Experian has as much credit as it deserves 15 May 2019 The data goliath’s revenue benefited from a cyberattack on rival Equifax, healthy U.S. growth, and its Brazilian push. An economic downturn would reverse the tide and lower profit margins may be the price of boosting sales. Its valuation premium over peers is big enough already.
Irish import new thinking into ECB from Down Under 1 May 2019 Ireland has hired New Zealand’s treasury chief, Gabriel Makhlouf, as its new central bank boss. While not a rate-setter, he arrives from a country that added an employment target to its monetary authority’s inflation goal. And Dublin can brag it is attracting global talent.
Dublin’s office boom lacks residential support 5 Apr 2019 Commercial construction in Ireland is back at pre-crisis levels. Tech giants and banks seeking a post-Brexit perch are fuelling demand for office space. But with Ireland building fewer than 20,000 homes a year – half what is needed – workers will struggle for affordable housing.
Berry takes risky leaf out of Apollo playbook 8 Mar 2019 The U.S. packager has beaten the private equity group, its former owner, by snapping up UK peer RPC for $4.4 bln. It looks set to ape a private equity-style strategy of rolling up smaller rivals. But the deal comes with high debt, aggressive synergies, and limited due diligence.
Aon shows humble pie is a dish best eaten swiftly 6 Mar 2019 The insurance broker’s shares rebounded after it ditched its pursuit of Willis Towers Watson a day after admitting interest. As miner Barrick is finding, it’s awkward sticking with a deal investors distrust. Moving on early helps avoid permanent dents to credibility.
Ryanair CEO’s 100 mln euro bonus is within reach 15 Feb 2019 That’s how much Michael O’Leary stands to gain if he doubles the budget airline’s net profit or share price by 2024. Falling fares and strikes make the target look a stretch. But if Ryanair hits its 200 mln passenger goal while keeping costs down, the sky’s the limit for rewards.
Irish cement maker needs repairs over demolition 6 Feb 2019 Activist Cevian has taken a stake in $25 bln building-products group CRH. A spinoff of the undervalued U.S. business might unlock value but would leave an awkward European rump. Its best hope for appeasing shareholders is to spruce up margins, and improve its governance.
New-look Ryanair follows familiar flight path 4 Feb 2019 The budget airline will split into four units overseen by CEO Michael O’Leary. The changes, including a replacement for Chairman David Bonderman, look encouraging. But given that O’Leary will remain in charge and large-scale acquisitions are unlikely, they are mostly cosmetic.
UK plastics challenge could crumple 31 Jan 2019 Berry Global may trump former owner Apollo’s 3.3 billion pound offer for British packaging firm RPC. But a bid would stretch the U.S. group’s balance sheet while finding cost savings won’t be easy. RPC investors hoping for a bidding war may be disappointed.
Ryanair will weather fare squeeze 18 Jan 2019 The low-cost carrier expects to make less post-tax profit this financial year than previously anticipated as CEO Michael O’Leary cuts fares to attract customers. That’s tough as he is having to pay staff more. But passenger numbers are growing fast enough for his bet to pay off.
Bankers should see Irish pay cap as an opportunity 29 Oct 2018 Ireland’s 500,000 euro salary limit for Allied Irish Bank’s CEO is why the incumbent just quit. But that still buys a lot of Dublin property, and need not deter global talent. Ambitious high-flyers should see the chance to cut their teeth on AIB as the path to a bigger CEO gig.
Ryanair wings recovery on consolidation prayer 22 Oct 2018 Strikes, lower fares and higher fuel costs lopped 7 pct off the budget airline's earnings in its busiest season. Ryanair's high margins and oil hedges are a buffer. But it's relying on less well-protected rivals stalling for its own performance to take off.