Multimillion-euro bonus for Ryanair CEO Michael O'Leary approaching completion
Ryanair's hotshot CEO, Michael O'Leary, the bloke who's the talk of the town in the aviation industry, is about to score a whopping €100 million in share options, amen to the targets set in 2019. Talk about a sweet deal!
To get his grubby hands on this loot, O'Leary just needs to keep his job with the budget carrier until 2028. With 31 years already under his belt at the airline and hints about sticking around beyond his current contract ending in 2027-28, it seems like he's up for the challenge.
Soaring Profits and Share Prices
The deal was first hatched in 2019, and the conditions were simple: Ryanair's share price needed to close above €21 for 28 consecutive days or accumulate €2 billion in post-tax profits by 2024. Thanks to the pandemic-induced delays, the deadline was pushed to 2028, but no sweat for our man O'Leary.
Since then, the airline's worth has doubled, and we've reached the first milestone – the share price surpassed the €21 mark for 28 days straight on May 29, 2025. Not bad, huh?
But it gets better. Simple Flying's analysts reckon we're closer than ever to smashing the second condition too, given the €1.61 billion profits we raked in for the 2024-2025 fiscal year, and the ongoing share buyback policy all the way to May 2026. Plus, making our Dublin-listed stock accessible to non-EU nationals in March 2025 and an impending listing on the MSCI World Index could make our shares even more desirable—just saying!
Exceptional Value, or Just Exceptional?
According to Bloomberg, we've outshone not only our European counterparts but also Southwest, the US firm that pretty much set the template for our low-cost, high-turnover, single-fleet model.
While the BBC points out that O'Leary's fortune would rank among the biggest pay-outs in European corporate history, the feisty CEO tentatively argued that his share options, and those of the rest of the management team, deliver "exceptional value" for Ryanair shareholders. He compared it to the astronomical salaries of Premiership footballers and managers, suggesting that his pay is peanuts in comparison.
Breaking Records, and Breaking Banks... Maybe?
To be fair, executive bonuses in Europe are often pretty restrained, with payouts rarely exceeding tens of millions of euros. But O'Leary's potential bonus would certainly rival the earnings of top athletes, marking an extraordinary exception in European corporate compensation.
Historically, massive payouts in European corporate history are few and far between, typically tied to exceptional performance or strategic roles. If O'Leary bags this €100 million bonus, it'll certainly stand out due to its size and the performance criteria Ryanair has met. It's all part of the airline's success story as Europe's largest low-cost carrier, a factor that's contributed to O'Leary's extended tenure and the shareholders' agreement to extend the performance-linked bonus plan until 2028.
In the game of corporate greed, it seems our man O'Leary is quickly climbing the ladder. Only time will tell if he'll reap the full rewards of his labor... or if the shareholders decide to hit the brakes.
- O'Leary's €100 million share options, tied to Ryanair's performance, could potentially set a record in European corporate history, exceeding the profits of top athletes.
- The tech-savvy aviation business, Ryanair, is making strides in eco-friendly financing, with analysts suggesting that its ongoing share buyback policy and global listing could increase the demand for its shares.
- As Ryanair continues to outperform its European counterparts and Southwest in the finance sector, focusing on low-cost, high-turnover, single-fleet models, the CEO's argument for providing exceptional value to shareholders holds ground amidst the debate about corporate finance and executive compensation.
