British Airways owner IAG announces profits of £425m

February 29, 2023

business, news


Today International Airlines Group, have announced they had made a pre-tax profit of £425.6m.

british airways plane via prayitno

IAG is the parent company of British Airways and Iberia has had a 10% increase in revenue despite a 29.7% increase in fuel costs.

This is a positive change for the company which had a difficult 2013 with the Icelandic ash cloud, weak economic environment and industrial action.

IAG’s chief executive, Willie Walsh, said demand for North Atlantic routes remained strong and steady demand on transatlantic routes helped profit levels.

Looking Forward to 2015

Although things are positive at the moment, the company is looking ahead to 2015 and is concerned about the increase in fuel costs this year, the eurozone debt crisis and the upcoming Olympics Games. Willie Walsh has said:

“While the Olympics will be positive for the long-term position of London as a global destination, past experience in other host cities suggests that demand could be dampened during the games.”

The airline is also concerned about the cost of air passenger duty and warned that a further 8% rise from last year could damage progress of the company.

Future Plans

IAG is looking to expand by buying the airline BMI from Lufthansa, which would boost their services leaving from Heathrow. This deal however still needs approval from the regulators but IAG remain hopeful that this will be allowed and they could launch some new long-haul flights from the London airport.

Are you planning a trip away this year with British Airways? Let us know…


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