Ryanair shares were 1.1% lower in morning deals, despite the low-cost airline reporting a record annual profit and announcing a 700 million euro share buyback. Higher passenger numbers and fare hikes helped the company offset a sharp increase in fuel costs and the continued impact of delayed Boeing deliveries. Ryanair Chief Financial Officer Neil Sorahan told CNBC's 'Squawk Box Europe' Monday that its share buyback reflected a 'very strong' balance sheet.
'And we've been paying down bonds, we now have 1.4 billion in gross cash at the end of the last year, and that's why the board now have the confidence on top of the ordinary dividend program, to actually return the 700 million to shareholders.' In an analyst presentation, CEO Michael O'Leary said recent fare pricing had been 'softer' than expected, Reuters reported.