International Airlines Group today set out long-term goals for the 2016-2020 period with a target of average annual earnings of €5 billion.
The parent company of British Airways, Iberia and Vueling projected an operating profit margin of between 10% and 14%.
IAG hopes to start introducing a “sustainable” dividend payment, with an announcement due next year.
It has been the group’s stated intention to distribute regular dividends to shareholders in the medium and long term.
“The company has made significant progress during 2014 and we remain confident in meeting our 2015 financial targets which we see as the trigger to introducing a dividend,” IAG said this morning at a capital markets day.
IAG said last week that it expects its annual operating profit to be up to €600 million higher than last year, when it reached €770 million.
IAG has not offered a payout to shareholders since its formation almost four years ago during a period of battles with unions, the recession and Spain’s economic downturn.
Group traffic in October rose by 7.5% with premium carryings up by 6.9% over the same month last year. Passenger numbers in the month were up to almost 6.9 million.