Ryanair increased its passengers numbers by 19 per cent last month.
The airline carried 5.78 million people in August compared with 4.84 million a year earlier, it said in a statement today.
However, the load factor, or proportion of seats filled, fell 1 percentage point to 90 per cent. The airline claimed it was benefiting as competitors imposed fuel surcharges to pass on the higher price of oil.
The airline industry may report losses of about $5.2 billion this year, almost $3 billion higher than forecast in June, the International Air Transport Association said yesterday.
"Ryanair continues to grow passenger numbers despite a Europe wide economic slowdown,'' the company said.
"Ryanair is confident that passenger numbers will continue to remain strong as competitors continue to raise their high fares.''
Ryanair shares fell 4.4 per cent to €2.64 this morning amid concern that slowing growth will curb earnings at consumer companies and as oil rebounded from a five-session decline.
The shares have declined 42 percent this year, cutting the company's market value to €3.96 billion.
While passenger numbers matched estimates, Goodbody Stockbrokers analyst John Goode said the "big concern'' is Ryanair's yield, or average revenue per passenger, given waning consumer confidence and recent declines in the British pound versus the euro, which have eroded earnings from the company's biggest market when translated into the European currency.
"With the revenue environment expected to be very difficult for at least the next six months, barring a further drop in oil price, it is hard to see a positive catalyst for the shares,'' said Merrion analyst John Mattimoe said.
Bloomberg