Fuel surcharges at rivals have lifted Ryanair passenger numbers

Passenger traffic increased 24%, while profits surged a forecast-beating 18%.

Net income rose to 200.1m euros (�138.9m, $255.1m) in the six months to September, ahead of analysts' expectations of 187.6m euros.

The Dublin-based airline refused to follow its rivals' ticket price rises as oil prices surged in recent months.

But, it added that if oil prices remain above $50 for the rest of the year it would add 55m euros to budgeted costs.

Forecasts revised

Despite high oil prices, the airline has held back from fuel hedging - which is normally used by airlines to protect themselves from rising oil costs.

In its statement Ryanair added the policy would continue until fuel prices returned to "normal".

Meanwhile, the firm also revised its forecasts for a dip in yields - the amount it makes per passenger - to a decline of 5-10% during the second half of the year from its previous estimates of a 10-20% drop. During the first half of the year yields fell 5%.

Ryanair said this was partly due to "the initial impact of the fuel price surcharges imposed by many of our high fare competitors".