British Airways owner IAG observe soaring profits by 22.5%

Published on : Friday, October 27, 2017

british-airwaysPre-tax profits of IAG, the owner of British Airways jumped by 22.5% to £1 billion in the three months to September owing to the descending fuel prices.

 

Revenue at this company that also is the owner of Aer Lingus, Iberia and Vueling Airlines increased by 2% triggered by 7.9% growth in its cargo division. Willie Walsh who is the chief executive said that all their companies had performed really well though there has been a disruption from severe terrorism and also climate conditions.

 

Though the international oil prices had risen in the period, the fuel costs of IAG had descended by 6.7% on account of successful hedging.

 

The company would be paying an interim dividend of 12.5 euro cents per share, up 13% on last year.

 

Though the numbers have been quite optimistic and reveals a bit prosperity, the shares had plunged about 4% to 644 p, probably because investors were hoping for a more bullish prediction of full-year earnings before exceptional items.

 

British Airways had suffered IT failure in May that had left 75,000 customers stranded and cost €65 million in compensation claims and knocked £360 million off the market cap of IAG. In March, IAG had launched Level.

 

Level is a low-cost airline that has flights from Barcelona to San Francisco, Los Angeles, Buenos Aires and Punta Cana in the Dominican Republic.

 

Pre-tax profits in the nine months to September were up 21.7% to €1.8 billion while the revenues increased by 1.3% to €17.5 billion.

 

Tags: , , , ,

Leave a Reply

Your email address will not be published. Required fields are marked *

*

You may use these HTML tags and attributes: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <s> <strike> <strong>

arrow2Follow TTW
 
facebook-logo  twitter-logo  LinkedIn_logo  stumbleupon-logo   rss_logo 
ttw_blogger_logo  ttw_blogger_logo  ttw_blogger_logo

ADVERTISEMENT

  • 01 AIME 2018 BB
  • 02 WTM Latin America 2018
  • 03 IMEX 2018
  • 04 AIME-2018 small
  • 05 itb-china 2018
  • 06 TTF-2018
  • 08 mice-arabia 18
  • 09 JTTX 2018
  • 09 The hotel shows audiarabia 18
  • 10 hotelfair 2018
  • 10 miceforum 18
  • 11 Digital Travel 2018
  • 11 Hotelex-Shanghai 18
  • 12 mitt 18
  • 13 aitf 2018
  • 30 PATA

TRAVEL INDUSTRY EVENTS

Get our toolbar!
Review www.travelandtourworld.com on alexa.com