The global airline industry is expected to generate $23.3 billion in net profits this year, the International Air Transport Association (IATA) said in its latest forecast during Global Media Day in Geneva. This is more than double that of the $9.8 billion that IATA guided in June during the AGM in Istanbul, which itself was twice the $4.7 billion guided for this year in December 2022. For 2024, the trend is that of stabilization, although there is certainly room to improve net profit margins.
2023 Has seen a remarkable recovery from the pandemic years. Remember that the industry suffered a $-137.7 billion net loss in 2020, the first year of Covid. This was reduced to $-41 billion in 2021 and to $-3.8 billion in 2022. Operating profits are guided at $40.7 billion. At 84.2 percent, the industry load factor is almost back to 84.5 in 2019 but exceeding 2019 in the Middle East, Latin America, and Africa. As Director General Willie Walsh said, it has taken the industry four years to recover from the pandemic.
Active as a journalist since 1987, with a background in newspapers, magazines, and a regional news station, Richard has been covering commercial aviation on a freelance basis since late 2016.
Richard is contributing to AirInsight since December 2018. He also writes for Airliner World, Aviation News, Piloot & Vliegtuig, and Luchtvaartnieuws Magazine. Twitter: @rschuur_aero.
