I don't generally spend too much time internalizing management blather. After all, down that road lie Sith Lords and "record earnings." In the case of Ryanair (NASDAQ:RYAAY), though, I'll happily concede the wisdom of one of management's more frequent sayings: "Low cost wins." Don't believe me? Take a look at this company's performance, on its books or in the market.

Despite the pounding of high fuel prices, second-quarter results were still quite good. Revenue soared about 32%, operating profit climbed 19%, and net profit nosed up about 17%. Though unhedged fuel costs helped to slash about 400 basis points from the company's operating margin, Ryanair still sports margins that would leave most American airline executives' heads spinning like Regan's in The Exorcist.

As its impressive revenue performance would suggest, Ryanair's various passenger statistics were solid. In the first half of fiscal 2005, passenger counts were up about 29%, the load factor was down just one point to 86%, and the average fare was up about 3%. Though it's not an operating statistic like the others, it's also worth mentioning that the company has no net debt.

Although it looks like steady-as-she-goes performance, investors seem to be reacting poorly to management's expectations for flat yields in the third quarter and a modest (5%-10%) decline in the fourth quarter. Let me get this straight -- we should all sell our shares of what is probably the world's best-run airline (at least in margins and profit growth) because fares and yields are going to soften a bit in a seasonally slow period? Good plan, guys.

I'll confess that while I like aspects of airline companies like Ryanair, British Airways (NYSE:BAB), Southwest (NYSE:LUV), and Continental (NYSE:CAL), the whole sector still gives me the yips. But that's my problem, not necessarily yours. Ryanair's management has proven the success of its low-cost model, and there are plenty of opportunities out there to support continued profitable growth. Decide for yourself whether flying with the luck of the Irish is a good call for your portfolio.

For more high-altitude takes:

Fool contributor Stephen Simpson has no financial interest in any stocks mentioned (that means he's neither long nor short the shares).