Ryanair has secured the future of its long-serving chief executive, Michael O’Leary, after agreeing a new contract that will keep him at the helm of Europe’s largest low-cost airline group until 2032.

The deal ends months of speculation over O’Leary’s future and extends his leadership beyond his previous contract, which had been due to expire in 2028.

However, the extension comes with the possibility of a substantial payday. Under the new agreement, O’Leary could receive a share-based bonus worth up to €267 million if the airline achieves a series of ambitious financial targets over the coming years.

A New Incentive Package

Ryanair Holdings, which includes Ryanair, Lauda, Buzz and Malta Air, confirmed that its Board of Directors has approved a new contract, that includes, what it described as a “reasonable annual salary” and a capped annual bonus. Last year, O’Leary received a combined salary and bonus package of approximately €1.8 million.

The major attraction of the new deal is a one-off share option package that would allow the Ryanair boss to acquire 10 million company shares at a fixed price of €26.70 each, or American Depositary Receipts (ADRs) at $65 per share.

If the relevant performance targets are met, the value of those shares could reach as much as €267 million.

Strict Conditions Attached

However, the bonus is not guaranteed. To qualify, Ryanair must achieve at least one of two key targets before 31st March 2032:

• Annual net profits must exceed €4 billion and remain above that level for 28 consecutive days; or
• Ryanair’s share price must trade above €42 per share, or its ADRs above $102, for 28 consecutive days.

Only if one of these conditions is satisfied will O’Leary be able to exercise the option package.

Another Bonus Already Awaiting

The new incentive comes on top of an existing long-term share scheme that could see O’Leary receive more than €100 million when his original contract concludes in 2028.

The outspoken executive has become one of the most recognisable figures in European aviation during his three decades leading Ryanair, helping transform the airline into one of the world's largest carriers and a dominant force in European short-haul travel.

Important for Canary Islands Routes

The announcement is particularly relevant for destinations such as the Canary Islands, where Ryanair remains one of the biggest airlines serving British holidaymakers and European tourists.

O’Leary has frequently been at the centre of debates surrounding airport charges, tourism taxes and airline regulation, while continuing to oversee the carrier's expansion across Spain and the wider European market.

With the new agreement now in place, it appears the airline’s most influential and often controversial figure will remain in charge for at least another six years, guiding Ryanair through what is expected to be a crucial period of growth and fleet expansion.