Ryanair's profits have come down to earth with a bump as the financial crisis continues to batter airlines.

The budget carrier has revealed a 47 per cent drop in first-half earnings.

Net profits for the six months to the end of September came in at just under £170 million.

The Irish-owned airline said falling ticket prices offset by lower fuel costs will lead it to break even in the full year.

It also expects traffic numbers to grow by 9 per cent this winter, despite grounding 15 Stansted aircraft and 4 Dublin-based aircraft, because of "unjustified" increases in passenger charges.

But plans for cheap flights across the Atlantic are being shelved.

Chief executive Michael O'Leary said: "If oil prices remain at approximately 80 dollars a barrel next year then our earnings will rebound strongly.

We have a significant cost advantage over our competitors, many of whom have hedged fuel next year at significantly higher levels than current market prices.

"This will force competitors to further increase airfares and widen the price gap between them and Ryanair's lowest fares."

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