Airline profits to rise in 2019 on lower fuel costs
The profitability of the global airline industry is expected to rise to US$35.5b in 2019 thanks to a sharp fall in oil prices and solid expectations of global GDP growth, says IATA. The latest projection IATA also delivers good news for investors with a forecast the return on capital will exceed its cost for the fifth consecutive year. And there are welcome tidings for passengers with IATA predicting the 2019 average return airfare before surcharges and tax will be $324, compared to a forecast in June for 2018 fares of $380. The latest profit forecast compares to a revised expected net profit in 2018 of $32.3b. IATA is now expecting an average oil price (Brent) of $65 per barrel compared to $73 per barrel in 2018 thanks to rising US output and inventories. <br/>
https://portal.staralliance.com/cms/news/hot-topics/2019-01-02/general/airline-profits-to-rise-in-2019-on-lower-fuel-costs
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Airline profits to rise in 2019 on lower fuel costs
The profitability of the global airline industry is expected to rise to US$35.5b in 2019 thanks to a sharp fall in oil prices and solid expectations of global GDP growth, says IATA. The latest projection IATA also delivers good news for investors with a forecast the return on capital will exceed its cost for the fifth consecutive year. And there are welcome tidings for passengers with IATA predicting the 2019 average return airfare before surcharges and tax will be $324, compared to a forecast in June for 2018 fares of $380. The latest profit forecast compares to a revised expected net profit in 2018 of $32.3b. IATA is now expecting an average oil price (Brent) of $65 per barrel compared to $73 per barrel in 2018 thanks to rising US output and inventories. <br/>
