Ryanair CEO Michael O’Leary’s €111M Stock Bonus: A Closer Look

Ryanair CEO Bonus Details and Share Price Conditions

Ryanair CEO Michael O’Leary is poised to receive one of the most significant compensation packages in European business history. His €111 million stock bonus is contingent upon meeting specific Ryanair share price conditions. O’Leary must remain with the company until the end of July 2028, and Ryanair’s share price must stay above €21 for 28 consecutive days.

This deal, finalized in December 2022, aims to secure O’Leary’s leadership of the Irish low-cost carrier. However, it has sparked executive compensation criticism. Luke Hildyard, director of the High Pay Centre, argues that O’Leary’s compensation package is excessive. Hildyard suggests that such bonuses often far exceed the actual value executives add to their companies or shareholders.

Executive Compensation Criticism and Growth Statistics

Despite the criticism, Michael O’Leary already holds billionaire status with 44 million Ryanair shares valued at €1 billion. The company itself is valued at over €25 billion. Hildyard pointed out, “It is ethically questionable and practically ineffective to allocate another €100 million to someone already enjoying billionaire status.” He added, as per The Guardian, “Imagine the impact of sharing this award among all employees who have contributed to Ryanair’s success.”

To qualify for his bonus, Ryanair’s earnings had to surpass €2.2 billion, or the share price needed to exceed €21 for 28 days between April 1, 2021, and March 31, 2028. Indeed, the share price closed above €21 for the first time on May 2 and held above that threshold for 28 days, closing at €23.74 on Thursday. Consequently, O’Leary will be able to sell these shares in three years.

Ryanair Passenger Growth and Future Prospects

It’s noteworthy that Ryanair’s share price has more than doubled over the past five years. During the lockdowns, it fell to €8 due to the halt in air travel, but it has since soared with the resurgence in flights. Ryanair transported 200.2 million passengers in the fiscal year 2024-2025, marking a record high with a 9% increase compared to the previous year. This impressive Ryanair passenger growth statistics highlight the airline’s robust recovery and market position.

In conclusion, while Michael O’Leary’s stock options may face scrutiny, they reflect Ryanair’s substantial growth and ambitious targets. For more insights into Ryanair’s financial performance or to explore its services, visit Ryanair’s official website.