IATA: Airline profitability nears peak
The latest monitoring by the International Air Transport Association (IATA) shows that airline profitability is showing signs of peaking. Underpinning the trend is a 20% drop in net profit in IATA's enlarged sample of airlines for their second-quarter financial performance. The sample total of 97 airlines, including 34 in Asia-Pacific, posted a combined net profit of US$8.52 billion in the April-June period, down from $10.6b in the same period last year. The lower profit reflects the impact of lower unit revenue, though earnings before interest and taxes edged up to 9.9%, from 9.8% in the same period last year. Margins improved slightly in North America, remained unchanged in Asia-Pacific, but dipped in Europe, attributed in part to the disruption to regional traffic caused by terrorism. <br/>
https://portal.staralliance.com/cms/news/hot-topics/2016-10-14/general/iata-airline-profitability-nears-peak
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IATA: Airline profitability nears peak
The latest monitoring by the International Air Transport Association (IATA) shows that airline profitability is showing signs of peaking. Underpinning the trend is a 20% drop in net profit in IATA's enlarged sample of airlines for their second-quarter financial performance. The sample total of 97 airlines, including 34 in Asia-Pacific, posted a combined net profit of US$8.52 billion in the April-June period, down from $10.6b in the same period last year. The lower profit reflects the impact of lower unit revenue, though earnings before interest and taxes edged up to 9.9%, from 9.8% in the same period last year. Margins improved slightly in North America, remained unchanged in Asia-Pacific, but dipped in Europe, attributed in part to the disruption to regional traffic caused by terrorism. <br/>
