Ryanair has warned its profit this year will be about €100 million lower than expected due to a 7% fall in airfares, caused by excess capacity this winter on European routes.
It has revised its full year profit guidance down from a range of €1.1 billion to €1.2 billion to a new range of €1 billion to €1.1 billion.
The airline said it could not rule out further cuts to air fares if there are 'unexpected Brexit or security developments', which could put a further dent in its profit.
Ryanair chief executive Michael O'Leary predicted the current low-fares environment would 'continue to shake out' more of its loss-making competitors, pointing out the Flybe and Wow were already up for sale. Flybe recently announced it had been bought by a consortium led by Virgin.