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Future looks considerably worse than 3Q2011: IATA

1-Dec-2011 11:16 AM

IATA released (30-Nov-2011) its Nov-2011 airlines financial health monitor, which updates the following airline financial highlights for three months ended 30-Sep-2011:

  • Operating profit: USD11,930 million, -18.2% year-on-year;
  • Net profit (loss): USD4977 million, -50.9%;
    • North America: USD898 million, -62.7%;
    • Asia pacific: USD1596 million, -54.3%;
    • Europe: USD2744 million, -4.3%;
    • Latin America: (USD553 million), compared to a profit of USD343 million in p-c-p;
    • Middle East: USD271 million, -73.1%;
    • Africa: USD21 million, +16.7%. [more – original PR]

IATA: “In fact during Q3 airlines did quite well, with a sample of 60 airlines reporting net profits of USD5 billion. Profits are down on last year, but only by 20% at the EBIT level. In Europe, where the economic outlook is dire, airlines limited the decline in Q3 profits to 5%. However, these are backward-looking indicators. Financial markets try to make forward-looking assessments. The future does look considerably worse than the situation that generated these third quarter profits.” IATA statement. Source: IATA, 30-Nov-2011.