Michael O'Leary, the long-standing CEO of Ryanair, has extended his contract to April 2032. This extension includes a lucrative bonus scheme that could see him earn more than €150 million (£130 million) if specific performance targets are met. The agreement, which was finalized after discussions with O'Leary and major shareholders, means he could remain at the helm of Europe's largest low-cost carrier for a total of nearly 40 years since he became CEO in 1994.
The bonus structure is tied to O'Leary remaining with the group until April 2032. He would be granted the option to purchase 10 million shares at a strike price of €26.70 per share. This option becomes exercisable if Ryanair achieves an annual profit after tax exceeding €4 billion, or if its share price surpasses €42 for 28 consecutive days before March 31, 2032. Ryanair's board stated that meeting these targets would generate "substantial additional value for all Ryanair shareholders."
Ryanair's chairman, Stan McCarthy, confirmed that the contract discussions began in the spring and involved extensive engagement with the company's largest shareholders. He expressed satisfaction with the outcome, highlighting that O'Leary's continued leadership would benefit all shareholders. Last year, O'Leary was already on track for a bonus worth over €100 million from a previous share option scheme, after the airline's shares closed above €21 for 28 consecutive days in May 2025.
While O'Leary's remuneration package includes a "modest annual salary and a capped annual bonus" for shareholder approval at the September AGM, the primary incentive lies in the share option scheme. The current share price of Ryanair stood at €25.70, with the strike price in the agreement reflecting the market price before the recent Middle East conflict. The airline recently reported a record full-year post-tax profit of €2.26 billion, indicating significant growth is required to meet the new €4 billion profit target.
