4-Jun-2010 12:11 PM
IATA updates industry losses in 1Q2010, Asia Pacific airlines bounce back
IATA reports (03-Jun-2010) the following financial updates for reported airlines* for the three months ended 31-Mar-2010:
- Operating profit (loss): (USD447 million), compared to a loss of USD2,947 million in p-c-p;
- North America: USD323 million, compared to a loss of USD616 million in p-c-p;
- Europe: (USD1,656 million), compared to a loss of USD2,046 million in p-c-p;
- Asia Pacific: USD576 million, compared to a loss of USD492 million in p-c-p;
- Latin America: USD321 million, +34.3%;
- Other: (USD11 million), compared to a loss of USD32 million in p-c-p;
- Net profit (loss): (USD2,000 million), compared to a loss of USD4,138 million in p-c-p;
- North America: (USD766 million), compared to a loss of USD1,968 million in p-c-p;
- Europe: (USD1,930 million), compared to a loss of USD1,785 million in p-c-p;
- Asia Pacific: USD594 million, compared to a loss of USD463 million in p-c-p;
- Latin America: USD138 million, -15.3%;
- Other: (USD36 million), compared to a loss of USD85 million in p-c-p. [more]
*A total of 50 IATA member airlines have reported to date.
Other details include:
- Fuel prices:
- In the USD80-100 per barrel band with little reason for prices to break out of this range.
- Demand:
- Very strong demand upturn in 1Q2010, pulled down slightly by European ash crisis;
- Freight less affected.
- Capacity:
- Capacity returning to passenger and freight markets at a slower rate than the upturn in demand;
- Further aircraft utilisation gains may be a challenge;
- Freighter fleet has not risen, freighter utilisation could be improved;
- Load factors levelling off, but remain close to record highs;
- Fares:
- High load factors tightened supply-demand conditions, average fares rising in response;
- Premium fares increasing by approximately 10% year-on-year. Premium fares still 16% lower than pre-recession levels.
- Fleet expansion:
- Aircraft deliveries continue at around 100 per month, with 50 aircraft brought back out of storage in Apr-2010.