International Airlines Group reports January traffic: long-haul strong, short-haul competitive
International Airlines Group (IAG), parent of British Airways and Iberia, announced monthly traffic highlights for the first time, reporting a 6.1% year-on-year increase in group traffic (RPKs). Capacity surged 9.5%, from a weak base. Comparisons were affected by severe weather in northern Europe in Jan-2010.
According to IAG, load factors have now reverted to "more normal levels, without significant adverse impact on revenues". IAG added: "Excluding weather impact, we do not see any material change to trend: our long-haul business remains strong, but the short-haul European market continues to be highly competitive."
January premium traffic for IAG airlines rose 7.4%, with a 4.0% gain in non-premium traffic. Excluding weather impact, IAG believes that premium traffic trends are "broadly in line with last month".
Shares in rival Air France-KLM fell 0.9% yesterday, while Lufthansa eased 0.5%.
Selected European airlines daily share price movements (% change): 03-Feb-2011