How Ryanair Makes Around $27 Per Passenger From Ancillary Revenue

Credit: Shutterstock Published Sep 11, 2026, 7:00 PM EDT Experienced ICAO English Language Proficiency Instructor for pilots and ATCOs and conference interpreter who is passionate about facilitating effective communication within aviation-related businesses. Possess a deep understanding of the aviation industry, including aviation regulations, terminology, and industry-specific communication protocols. Has been working at numerous airshows across Europe since 2014. Being an ultralight pilot in her free time, she also promotes safety and efficiency in aviation operations. Based in Italy and Malta Sign in to your Simple Flying account Ryanair's cheapest fares are designed to get passengers through the booking door, but the airline's latest financial results show how much money it can actually generate after that initial purchase. In FY2026, Ryanair collected €4.99 billion ($5.8 billion) in ancillary revenue, equivalent to about €24 ($27) per passenger, which often equals the basic fare paid per ticket. That is a striking figure for an airline built around low fares and memes surrounding its legendary status as an airline where you pay literally for every single extra (luckily, not bathroom access, which remains free so far!). The question isn't simply how Ryanair charges for baggage or seat selection, but how a collection of relatively small, innocent purchases can become a multibillion-euro business serving more than 208 million passengers. Ryanair's Ancillary Revenue Has Become A Business In Its Own Right Credit: Victoria Agronsky | Simple Flying Ryanair's €4.99 billion ($5.8 billion) ancillary revenue figure shows that the airline's low-cost model extends well beyond selling seats. According to its FY2026 results, ancillary revenue increased 6% year-on-year to reach the current sum, while passenger traffic grew 4% to 208.4 million. The airline also reported that revenue per passenger rose 7%, showing that additional revenue from travelers remains an important part of its commercial model. The basic idea is familiar to anyone who has ever booked a Ryanair flight. A customer can purchase the lowest available fare and then decide whether to add baggage, a particular seat, priority boarding, food, or other services. Ryanair's current fare structure includes a Basic option with one small personal bag that fits under the seat, while higher-tier packages bundle additional services such as reserved seating, priority boarding, and extra baggage. Scale makes the strategy so powerful. At 208.4 million passengers, every additional €1 collected per passenger would theoretically generate more than €208 million ($242 million) in annual revenue if passenger numbers remained unchanged. That makes even apparently minor purchases worth pursuing, but Ryanair offers far more than one ancillary product. Let's have a look at their available products below. From Baggage To Chicken Curry: The Many Ways Ryanair Makes Ancillary Revenue Credit: Victoria Agronsky | Simple Flying Ryanair's ancillary system starts with the products passengers associate most with the airline. All fares include one small personal bag measuring 15 x 11 x 7 inches (40 x 30 x 20 cm), while travelers can pay for Priority & 2 Cabin Bags or checked baggage weighing 22, 44, or 50 lb (10, 20, or 23 kg). The airline also charges for assigned seating, with prices varying by seat and flight. Priority & 2 Cabin Bags is particularly illustrative because it combines two things passengers may value: boarding earlier and taking a larger cabin bag into the cabin. Ryanair's published conditions state that the option can be purchased during booking or later through the app or website (which may cost more), while assigned seats can also be purchased during booking or afterward. But the airline's ancillary portfolio goes considerably further. Ryanair's 2026 annual report specifically lists in-flight sales of beverages, food, duty-free products, and various merchandise such as toys, while its website and app market car hire, travel insurance, accommodation, car parking, bus tickets, fast-track services, and airport transfers. Gift vouchers also form part of the wider commercial products. Ancillary category Examples Baggage Priority & 2 Cabin Bags; 22, 44, or 50 lb (10, 20 and 23 kg) checked bags; excess baggage Seating Standard, front-row, and extra-legroom seats Airport services Airport check-in, fast-track, and related services Onboard sales Food, drinks, snacks, duty-free, and merchandise Travel products Travel insurance, accommodation, and car hire Ground services Airport parking and transfers Other products Baby equipment, sports/music equipment, and gift cards Ryanair's onboard operation shows how the strategy continues after passengers pass through the airport. The airline's Getaway Café sells meal deals, soft drinks, snacks, hot drinks, beer, spirits, wine, and other edible items you can find in its digital in-flight magazine, while its Runway Retail operation sells products such as fragrances, cosmetics, and gifts, including toys, such as its Boeing 737NG scale model I bought as soon as they started selling it over a decade ago. You can also use the Ryanair app through its Order To Seat service to order food, drinks, and duty-free products for delivery to your seat. That means a Ryanair passenger can potentially generate ancillary revenue at several different stages: during booking, before departure, at the airport, and onboard the aircraft. But not every traveler has to buy everything, which is precisely what makes the model work. The Economics Of Turning Small Fees Into €4.99 Billion Credit: Victoria Agronsky | Simple Flying The important point about Ryanair's €24-per-passenger figure ($27) is that it is an average, not a standard charge. One traveler might pay nothing beyond the fare, while another might purchase a checked bag, reserve a seat, add priority boarding, and buy food onboard, for a total of about €50 ($58). The €24 figure represents the combined result of those purchasing decisions across the entire passenger base. Consider baggage alone. Ryanair's published fee table shows that a 44 lb (20 kg) checked bag purchased online can cost between €21.49 ($25) and €59.99 ($70) per flight, depending on the route and date, while a 50 lb (23 kg) bag ranges from €28.99 ($34) to €80.99 ($94). The airline also charges separately for excess baggage, some airport purchases, and certain situations where you present oversized baggage at the gate. Seat selection provides another opportunity. Ryanair's fee schedule shows different prices for standard, front-row, and extra-legroom seats, with the amount varying by itinerary and date. If you forget to check in online, airport check-in may incur a charge, with Ryanair currently listing a €55 ($64) fee in many cases, with different rates for flights departing from Spain and Austria. Food is another important source of income. Ryanair serves almost all countries in Europe, with many flights exceeding three hours and flying during lunch or dinner time; as a result, many passengers buy Ryanair’s meal deals, starting at €12.50 ($14.50). The meal selection is not that bad; personally, I often buy their quite tasty Thai Green Curry for €8.50 ($10), served on Ryanair's longest sectors. Overall, if a relatively small proportion of a huge passenger base buys higher-value extras, the aggregate can become enormous. This is one of the fundamental attractions of the ancillary model: Ryanair can keep the advertised fare low while allowing individual passengers to increase their final price based on their needs, generating the profit the airline needs. Why The Model Fits Ryanair's Low-Cost Strategy Credit: Victoria Agronsky | Simple Flying Ancillary revenue works particularly well for airlines, especially ULCCs, whose customers are highly sensitive to the initial ticket price. Instead of bundling every possible service into a single fare, Ryanair can separate the basic transportation product from optional extras. Passengers who want the lowest possible price can remain with the Basic fare, while those who value convenience can effectively build their own more expensive package. This approach also lets Ryanair segment customers without charging every passenger the same amount. A business traveler may want a reserved seat, priority boarding, a hot in-flight meal, and flexibility, while a leisure traveler taking a short trip may need little beyond the basic ticket and a small personal bag. Ryanair can serve both customers using the same aircraft and flight while capturing different amounts of revenue from each. The company's FY2026 financial performance shows why that matters. Group revenue rose 11% to €15.54 billion ($18 billion), with scheduled revenue up 14% to €10.56 billion ($12) and ancillary revenue up 6% to €4.99 billion ($5.8 billion). Meanwhile, operating costs before exceptional items rose 6% to €13.09 billion ($15 billion), while the airline reported a 40% increase in profit after tax before exceptional items, to €2.26 billion ($2.7 billion). In its FY2026 results, CEO Michael O'Leary also described traffic growth, ancillary revenue and lower unit costs as elements of the company's continuing strategy. The financial results indicate that the model should be refined to suit a wide range of customers. More Passengers Could Mean More Ancillary Revenue Credit: Victoria Agronsky | Simple Flying Ryanair's next challenge is one of scale. According to planespotters.net, as of 2026, Ryanair Group currently operates 647 aircraft, including all 210 of its Boeing 737-8200 Gamechanger aircraft, a MAX variant, and expects passenger traffic to rise to approximately 214 million in FY2027. It is also preparing for the arrival of the Boeing 737 MAX 10, with the first 15 aircraft expected to be delivered in spring 2027. More passengers naturally create more opportunities to sell extras. If Ryanair maintained its FY2026 average of €24 ($27) per passenger and carried 216 million passengers, that would generate about €5.18 billion ($6 billion) in ancillary revenue. That is not a forecast from Ryanair, but it illustrates the strategy's financial leverage: passenger growth alone can increase ancillary revenue even without increasing the average amount each traveler spends. The airline is also targeting substantially greater long-term growth. Ryanair has said that its fleet expansion and European short-haul market position could support traffic exceeding 300 million passengers annually by FY2034. If the current €24-per-passenger average were maintained at 300 million passengers, the arithmetic would imply approximately €7.2 billion ($8.3 billion) in annual ancillary revenue. Again, this is a hypothetical calculation, but it shows why the category becomes more important as the fleet expands. The harder question is whether passengers will keep buying extras at the same rate as the airline grows and its fee structure evolves. Growth provides Ryanair with more customers, but maximizing revenue per customer without damaging the appeal of its low fares requires a much more delicate balance. The €24 Per Passenger Could Become Even More Important Credit: Victoria Agronsky | Simple Flying Ryanair's ancillary model ultimately works because the airline does not have to convince every passenger to spend more. It only needs enough customers to pay for baggage, seats, priority services, onboard purchases, and other extras for the combined revenue to reach billions of euros. The FY2026 result demonstrates how successful that approach has become. For passengers, this makes the distinction between a publicized fare and the final cost of travel very important. A basic ticket may provide the transportation itself, but adding a checked bag, a particular seat, and priority services can materially change the final price. Meanwhile, the spending opportunity does not end at the airport; food, beverages, duty-free goods, and other products are available onboard. Ryanair, with traffic expected to reach around 216 million passengers in FY2027 and a large MAX 10 order still to be delivered, has plenty of additional passengers from whom to generate those extra euros. The €24 ($27) average may look small next to Ryanair's €4.99 billion ($5.8 billion) total. But across hundreds of millions of journeys, a few euros at a time have become one of Europe's biggest sources of airline ancillary revenue.