IATA: aircraft utilisation remains high, for now

But airline share prices are down 40% so far this year

In its latest Airline Financial Report just released, IATA reveals that airline share prices are down 40% so far this year, due to market pessimism about future prospects. However, what is usually a “backward-looking” third quarter shows airline earnings before interest and tax of $12 billion – “a reasonable performance so far”, according to the airline body.
Fuel prices are back up above $130 a barrel, caused by a continuing supply squeeze. Air freight markets are in decline as business confidence falls, but helping profitability is the fact that aircraft utilisation “has been kept high in passenger markets, so far”. There is a stabilisation of breakeven passenger load factors, by rising yields and non-fuel cost efficiencies. “But”, IATA cautions, “the environment over the next few quarters looks much more challenging.”
Air Transport News


Check Also

Air rage, airlines, alcohol, drunk passengers, drugs, IATA, recommendation, airport, shops, sale, easyJet, Jetstar

Severe air rage incidents on the rise

Most cases involve verbal abuse, many involve alcohol

airlines, air rage, flight attendant, cabin crew, job, union, USA, Bob Ross, association, protect, corporate, abuse, business, passengers

Air passenger demand to double in 20 years

World’s future fastest-growing markets identified

wi-fi, IFE, mobile, onboard, inflight, entertainment, air travel, airlines, IATA

Air passengers want Wi-Fi via own devices

Bring-your-own mobile device, taking over the skies

flights, air travel, Warsaw, Helsinki, Copenhagen, Finnair, Reykjavik, Billund, Legoland, Vilnius, China, frequencies, capacity

Air traffic demand strengthens again

Airlines in Europe and elsewhere see high demand

luggage, bags, baggage, air travel, airlines, ancillary, fees, online, book, travel, fly, flight, 2018, forecast, alliances

Radio-frequency tech could save airlines $3bn

Airline industry study upbeat about RFID baggage tracking

wildlife, tracking, tool, IATA, airlines, airports, Africa, Asia, trafficking, illegal

Airlines to deploy wildlife tracking tool

Wildlife tracking assessment tool to cut illegal shipments