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O'Leary returned from a visit to Southwest Airlines convinced that Ryanair could make huge inroads into the European air market, at that time dominated by national carriers, which were subsidised to various degrees by their parent countries.He competed with the major airlines by providing a "no-frills", low-cost service.Similarly net profits have increased from €48 million to €339 million over the same period.In 1986, the company added a second route – flying Dublin–Luton in direct competition with the Aer Lingus / British Airways duopoly for the first time.A loss of €3.3 million in the second quarter of 2004 was the airline's first recorded loss for 15 years but the airline became profitable soon after.The enlargement of the European Union on opened the way to more new routes for Ryanair.Flights were scheduled into regional airports, which offered lower landing and handling charges than larger established international airports.O'Leary as Chief Executive took part in a publicity stunt, where he helped out with baggage handling on Ryanair flights at Dublin Airport.

In August 2005, the airline claimed to have carried 20% more passengers within Europe than British Airways.After the rapidly growing airline went public in 1997, the money raised was used to expand the airline into a pan-European carrier.Revenues have risen from €231 million in 1998, to €1,843 million in 2003 and €3,013 million in 2010.After a successful flotation on the Dublin Stock Exchange and the NASDAQ Stock exchanges, the airline launched services to Stockholm, Sandefjord Airport, Torp (110 km south of Oslo), Beauvais–Tillé and Charleroi near Brussels.The airline launched its website in 2000, with online booking initially said to be a small and unimportant part of the software supporting the site.

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With two routes and two planes, the fledgling airline carried 82,000 passengers in one year.

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