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  • Ryan Air

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    Prakhar Gupta
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    Revenues for the company were $100 with operating expenses of $21.4 including fixed costs like staffing of $5.1. Variable operating costs included fuel and oil at $19.1, aircraft operating leases at $10, landing and route fees at $7 that depend on number of flights, and handling charges that vary with passengers. The company reported an operating profit of $11.7.

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    Some Calculation!

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    Revenues for the company were $100 with operating expenses of $21.4 including fixed costs like staffing of $5.1. Variable operating costs included fuel and oil at $19.1, aircraft operating leases at $10, landing and route fees at $7 that depend on number of flights, and handling charges that vary with passengers. The company reported an operating profit of $11.7.

    Copyright:

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    19 views2 pages

    Ryan Air

    Uploaded by

    Prakhar Gupta
    Revenues for the company were $100 with operating expenses of $21.4 including fixed costs like staffing of $5.1. Variable operating costs included fuel and oil at $19.1, aircraft operating leases at $10, landing and route fees at $7 that depend on number of flights, and handling charges that vary with passengers. The company reported an operating profit of $11.7.

    Copyright:

    Attribution Non-Commercial (BY-NC)
    Download as XLSX, PDF, TXT or read online from Scribd
    Flag for inappropriate content
    Download as xlsx, pdf, or txt
    of 2

    Revenues OpEx Staff

    100

    21.4

    Fixed

    Dep&Amor Fuel&Oil Engineering & other aircraft cost Selling Aircraft Operating Lease Landing Fees & en route charges Handling charges, catering & others Acco, Ground equip &others Operating Profit

    5.1 19.1 5.9 10.8 2 7 10 11.7 7

    Fixed Variable Fixed+Variab le? Variable Fixed Variable Variable Fixed

    Staff strength will remain more or less same (unless there is layoff) - Its not dependent on number of flights Based on assets (Sunk cost), which are fixed costs Independent of number of flights Dependent on flight hours Contracts might have fixed fees + Variable component (timematerial) Proportional to number of flyers/flights Leases are for long term Dependent on number of flights Dependent on number of flights Fixed investment

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