Ryanair's 44 per cent jump in pre-tax profits and 38 per cent rise in passenger numbers were exceptional by any standards, but the more so given the backdrop for the aviation industry post-September 11th.
Shares in the budget airline jumped by more than 7 per cent on the back of the news on Monday, closing the day at €6.65.
Ryanair's performance was matched by its rivals EasyJet and Go which are in the process of being merged and are set to overtake Ryanair as Europe's biggest budget airline.
Both airlines forecast strong growth over the next two years with their share prices reflecting this.
While the growth rates of both will eventually slow, and that will carry its own risks for investors, Ryanair's business model looks like a safer bet.
EasyJet's average fare is around 60 per cent higher than Ryanair's, but the Irish airline's margins are more than double the UK-based airline, while its cost base is lower.
Added to this were Ryanair's quick moves to take advantage of the changing climate for airlines post-September 11th - its negotiation of a deal to take 150 Boeing 737-800 aircraft at a significant discount, the hedging of fuel contracts and the renegotiation of airport deals which all leave it in a nice position.
But the key to maintaining strong growth over the medium term will be opening up continental point-to-point routes and this is where Ryanair has the advantage with Continental European bases at Brussels Charleroi and Frankfurt Hahn. Only 43 per cent of Ryanair's passengers now originate from Britain, with 14 per cent coming from the Republic and the remainder from continental Europe, as opposed to EasyJet which is very reliant on the UK market.
Coupled with this is the fact that Ryanair does not have to rely on winning slots at primary airports. It is therefore less concerned about airport access because it uses secondary and regional airports which are less congested, less costly to use and quicker for turning around aircraft - crucial for a low fares airline.
All told, it is hard not to see the share price meeting some analysts' expectations of around €7.50 in the future.
