IAG ups second-quarter profit despite surge in fuel costs
IAG boosted operating profit 6.7% to €960 million ($1.06 billion) in the second quarter ended 30 June, which the European airline group’s chief executive hails as «a good performance» achieved «despite fuel-cost headwinds». Unit fuel cost was up 12.4%, or 6.3% at constant currency. Passenger unit revenue rose 3.1%, or 1.1% at constant currency, «benefiting […]
Boeing to Expand Investment in Brazil’s Sustainable Aviation Fuel Industry
Boeing announced a USD 1 million investment in Brazil’s efforts to establish a sustainable aviation fuel industry. The investment will focus on initiatives that maximize social, economic and environmental benefits to local communities engaged in the development of feedstock that can be used to produce sustainable aviation fuel (SAF). In 2018, the company provided an […]
Higher fuel prices take bite out of 2018 airline profits
U.S. airlines made a net profit of $11.8 billion during 2018, Bureau of Transportation Statistics data shows. It is the sixth straight year of profit for the industry, but profits are down 23% from 2017, when U.S. airlines cumulatively reported net income of $15.3 billion. The 27.3% increase in the amount airlines paid per gallon […]
Aeromexico posts 2018 net loss on fuel costs, inflation
Grupo Aeromexico reported a net loss for 2018 of MXP1.9 billion ($98.6 million), reversed from a MXP18 million net income a year earlier. Headwinds faced by the Mexico City-based carrier in 2018 included a 35.6% year-over-year (YOY) increase in fuel costs and a 4.8% annual inflation rate. The airline’s full-year revenue rose 14.3% to MXP70.3 […]
Shell, SkyNRG begin providing biofuel at SFO
Fuel supplier Shell Aviation and biofuel distributor SkyNRG have begun providing sustainable aviation fuel to Finnair, KLM Royal Dutch Airlines and Scandinavian Airlines (SAS) at San Francisco International Airport (SFO) under a long-term collaboration agreement announced in May. The fuel is being provided by World Energy, formerly AltAir Fuels, from its Paramount refinery in Los […]
Brazilian airline Azul’s Q3 profit drops on oil prices, currency
Brazilian airline Azul SA posted on Thursady a 42 percent drop in third-quarter profit to 117 million reais ($31.32 million), due to higher fuel prices and a depreciating local currency. The results missed a Refinitiv IBES estimate that put Azul’s quarterly profit at $37 million. Azul’s revenue grew by 21 percent in the period. However, […]
Air Canada posts 3Q net income decline, revenue record
Air Canada reported an adjusted net income of C$516 million ($393 million) for the third quarter (3Q), down 39% from a restated adjusted net income of C$922 for the year-ago quarter. The Canadian flag carrier’s 3Q unadjusted net income was C$645 million, compared to $1.7 billion a year ago, when the airline received a net […]
American Airlines bullish on future as 3Q profit drops 48%
American Airlines posted a 2018 third-quarter net profit of $341 million, down 48% from $661 million in the 2017 3Q. The Dallas/Fort Worth-based airline spent $750 million or 42.6% more on fuel in the quarter compared to a year ago. Its operating profit (excluding special items) dropped from, $1.17 billion to $688 million, a reduction […]
Ryanair profits hit by strikes and higher fuel costs
Strikes by air traffic controllers and Ryanair pilots and cabin crew have contributed to a slide in half-year profits over the summer. The airline reported a 7% fall in profits to €1.2bn (£1.06bn) for the six months to 30 September. Profits were also hit by higher fuel costs and what Michael O’Leary called «the worst […]
Fuel prices to crimp airline profitability: AAPA
Association of Asia Pacific Airlines (AAPA) director general Andrew Herdman says rising oil prices are expected to hit airline profitability as heavy competition limits carriers’ ability to lift ticket prices. While airlines in the region, and indeed globally, are still forecast to post healthy profits for the period ahead, Herdman expects the overall picture to […]
