Early 2Q2011 results show first year-on-year fall in airline profits in eight quarters: IATA

IATA released (03-Aug-2011) its Jul-2011 Airlines Financial Health Monitor with the following updated financial highlights for 2Q2011:

• Operating profit (loss): USD2329 million, -33% year-on-year;
  • North America: USD1567 million, -38%;
  • Asia Pacific: (USD94 million), compared with a profit of USD565 million in p-c-p;
  • Europe: USD801 million, +194.5%;
  • Latin America: USD56 million, -50.4%;
• Net profit (loss): USD1048 million, -63.7%;
  • North America: USD608 million, -57.3%;
  • Asia Pacific: (USD62 million), compared with a profit of USD322 million in p-c-p;
  • Europe: USD487 million, -54.9%;
  • Latin America: USD16 million, -73.8%. [more]

IATA: "Passenger yields have still not recovered to pre-recession levels, outside the US, and gains are slowing. Airline stock prices - sensitive to the cycle - fell further. The Bloomberg global airlines index was down 4% last month, and is down 15% so far this year. Airlines are expected to be hit more than most sectors by the economic slowdown", Source: IATA statement, 03-Aug-2011.