Ryanair is an Irish airline company which was launched in 1985 by Ryan family in Dublin. It is the first low-fare airline in European nations. Also it is considered as most successful airline in terms of profit. In addition, it is also famous for number of flights and passengers flown. Moreover its business is expanded to 44 bases, more than 1200 routes, 160 airports and 27 countries.

Ryanair Holding Private limited company is leading plan airline in Europe. The aim of this report is how to use economic managing formula to give a general idea of Ryanair Holding Plc. It has well financial position in direct to help another company to provide. In this report, given many information of different companies guide to improve the financial position and grooving of managing power of the organization. Also it can useful to give forecast development and future danger difficulty.

In recent time, there was a big events happened in the company. Which is effecting on company’s profit and loss account that given in the report. So ratio analysis is very important to improve company’s financial situation. After the ratio analysis given some recommendations can help to improve organization’s strength and growth and also to make batter financial position of the company.

BACKGROUND:

Europe’s biggest financial budget airline is mane of Ryanair Holding plc. It has gone a very high distance in space journey a service in the UK. It is follow to operate on the basis of Southwest Airlines system. These airlines always create travel to twice or triple on the way it comes. In this airline, 7m passengers used to fly in a year. Uses of internet which helped mover slice expenses of the sharing part.

In the starting, Decan, Cathal and Shane Ryan established Ryanair with £1m from their father, Dr. Tony Ryan, chairman & CEO of Guinness Peat Aviation, the aeroplane letting huge. Ryanair made routes between Ireland and United Kingdom at starting of flying in June 1985. Entering in Dublin-London area the after that spring, finishing with British Airways and Dan Air moreover Aer Lingus. (www.fundinguniverse.com).

In 2009 Ryan air’s common cost per traveller was EUR 36 as compared as to EUR 68 for its curve rival Easyiet. From the years of 2007 to 2009 Ryanair arranged low cast to passengers by 13%. Ryanair has raised its numbers of passengers by 14% in 2010 and made more routes. This growth will continue next year’s. (www.ryanair.com).

ANALYSIS:

INTRODUCTION OF RATIOS AND IMPORTANCES:

Ratios are mostly used as a part in understanding of financial statements. The selected ratios and finding data which are depend on the requirement of the data which are using. When the share price is reach on its higher level, at that situation want to do and choose the very good condition to sell shares. Due to this, the investors will control the performance of organization.

Mostly the ratios could be designed from the data given by the financial statements. It is used in evaluate trend. Also it is used to make balance of the financial condition to select of other condition. The ratio analysis may be used in some case of future bankruptcy. (www.netmba.com).

RATIOS ANALYSIS:

Firstly, in the ratios analysis classified different types which depend on given information. Most important types are given below,