7-Aug-2012 11:21 AM

IATA: Asia Pacific airlines report strong profits in 2Q2012, Europe the weakest

IATA released (02-Aug-2012) its Jun/Jul-2012 Airlines Financial Monitor with the following financial updates for the global airline industry for three months ended 30-Jun-2012:

  • Operating profit: USD6064 million, +28.4% year-on-year;
  • Net profit (loss): USD1567 million, -20.7%;
    • North America*: USD1821 million, +3.2%;
    • Asia Pacific: USD240 million, +353%;
    • Europe: (USD535 million), compared to a profit of USD248 million in p-c-p;
    • Latin America: Breakeven, compared to a loss of USD141 million in p-c-p;
    • Middle East: USD41 million, -21.2%. [more – original PR]

*Excludes AMR reorganisation items, totaling USD1.4 billion

IATA: “The airline industry typically earns a majority of its profits in Q2 and Q3, with seasonal losses expected in Q1 and Q4. Initial results for Q2 show strong performance by Asia-Pacific airlines, but still weaker results for the industry overall compared to Q2 2011. The sample of 42 airlines indicates that industry net profits are more than 20% down in Q2 compared to a year ago. The weakness is coming primarily from Europe, with airlines in the region reporting a three-fold decline in profits in Q2 compared to a year ago.” Source: Company statement, 06-Aug-2012.