The majority of European airline shares rose on Friday (13-Aug-2010), as the wider market made a modest gain for the session. Markets were boosted by news the Euro zone economy grew at its fastest quarterly pace in 2Q2010.
In key markets, UK’s FTSE (+0.2%) gained marginally, while Germany’s DAX (-0.4%) and France’s CAC (-0.3%) moved lower for the day.
Aeroflot (+1.7%) shares were up after the carrier’s net profit rose 16.9% year-on-year for the six months ended 30-Jun-2010 to EUR99.7 million, on a 18% improvement in revenue to EUR1,234 million.
Passenger numbers for 1H2010 also advanced, up 32.4% to 5.1 million.
Iberia (+1.6%) also rose after the Spanish carrier reported a 2.8 ppt year-on-year improvement in load factor, to 87.6% for Jul-2010. The rise was the result of a 5.3% improvement in traffic (RPKs) on a 1.9% increase in capacity.
The carrier stated unit revenue per ASK maintained a significant increase with respect to the previous year, despite the augment of 10.6% in the average stage length, in part boosted by the growth of business-class traffic in long and medium-haul routes.
See related CAPA Profile: Traffic and Capacity
Lufthansa (-0.6%) slipped slightly on news the German Government has revised its three-tier tax on air travel, increasing the proposed tax on long-haul services. The government now plans to impose a tax of EUR8 for short-haul flights, instead of EUR9 for European flights and services to Libya, Morocco and Tunisia. The government still plans to impose a EUR25 levy on medium-haul flights, but has increased the proposed tax on long-haul flights from EUR40 to EUR45.
See related CAPA Profile: Regulatory Affairs Review
Elsewhere, Dart Group (-4.5%) and Eurofly (-3.4%) slumped, while TUI Travel (+4.5%) rebounded recent declines. SAS (+1.9%) was also up.
Europe selected airlines daily share price movements (% change): 13-Aug-2010
Want more analysis like this? CAPA Membership gives you access to all news and analysis on the site, along with access to many areas of our comprehensive databases and toolsets.
Find out more and take a free trial.