IATA: Improved Performance Cushions Fall in Profits - Margins and Profits Remain Weak

01-Oct-2012 The International Air Transport Association (IATA) announced an upward revision to its global aviation outlook for 2012. The fall in airline profits from the $8.4 billion that the industry earned in 2011 will be cushioned by improved airline performance. Airlines are expected to earn $4.1 billion in 2012 (up $1.1 billion from the $3.0 billion forecast in June). The revision will still see the industry's net profit margins fall from the 1.4% realized in 2011 to 0.6% (up from the previously forecast 0.5%). In a first look at 2013, the association sees global profits rising modestly to $7.5 billion, though this is a net margin of just 1.1%.