
Strong quarterly profit at IAG: The British Airways owner's recipe for success
The International Airlines Group (IAG), which includes well-known airlines such as British Airways, Iberia, Vueling and Aer Lingus, reported a sharp increase in quarterly profit in the third quarter of 2024. Operating profit rose 15 percent year-on-year, significantly exceeding analysts' expectations. These positive results underline the strong demand in air transport, particularly on the important transatlantic routes, and cast an optimistic view of the future development of the aviation industry. Successful balance sheet thanks to high demand and efficient cost control In the third quarter, IAG achieved an operating profit of two billion euros, which was above the consensus forecast of 1,78 billion euros. These figures reflect the strong demand experienced by all airlines within the IAG Group, particularly on the transatlantic routes, which are traditionally among the most lucrative. The routes between London and the USA in particular were heavily utilized, leading to a four percent increase in capacity on these North Atlantic routes. The group was also able to expand its offering on the South Atlantic routes. IAG CEO Luis Gallego stressed that demand remains high in all of the company's key markets, particularly on the transatlantic and intra-European routes. For the full year, IAG expects an operating profit of around €3,7 billion, which represents an increase on the previous year, when profit was €3,5 billion. Another positive aspect was the significant growth in the cargo area. Revenue from the freight business increased compared to the same period last year and contributed significantly to the overall result. In combination with higher ticket prices, lower fuel costs and a strong focus on efficiency