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Iata reports ‘robust’ airline growth in June

International airlines saw “robust” growth in June of 6% on the back of improving passenger demand.


Figures from Iata show the growth trend being reflected in all regions, with airlines from Asia Pacific responsible for half of the increase over the same month last year.


European airlines reported a second consecutive month of solid growth, reflecting an easing in recessionary conditions in the eurozone and an improvement in business and consumer confidence.


Emerging markets were once again the strongest performers, particularly Africa and the Middle East.


Iata director general and chief executive Tony Tyler (pictured) said: “June was a positive month for passenger markets. The stability in the eurozone, albeit tentative, is giving a boost to business and consumer confidence.


“And the load factor at 81.7% shows that airlines are efficiently meeting increasing demand for travel.


“But there are some headwinds. Growth in the BRICS economies, including China, is slowing. And oil prices remain high. The industry is still on track to make $4 per passenger this year for a global net profit of $12.7 billion.


“But there is little margin for error and even a small change in the second half of the year could shift the outlook significantly,” he warned.


Tyler added: “The half-year report for passenger markets is broadly positive. There is plenty of evidence to support some cautious optimism.


“Airlines are expecting continued growth in demand, but there is little immediate hope for an improvement in yields. In the short term, cost control remains high on every airline’s agenda. And the longer-term challenge is to expand value streams to generate sustainable levels of profitability.”

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