IAG has reported a first quarter net profit of €1.23 billion on an 18 percent year-over-year increase in revenue to €8.65 billion. At September 30, 2023, the company had total liquidity of €13.7 billion.
On Friday (October 27, 2023), the International Consolidated Airlines Group (IAG) reported their third quarter financial results for the period ending September 30, 2023. The Group reported a third quarter net profit of €1.23 billion on a year-over-year increase in revenue of 18 percent to €8.65 billion. IAG’s third quarter passenger revenue per available seat kilometer (PRASK) increased 2.2 percent compared to last year to 8.76 euro cents, while total cost per available seat kilometer (CASK) decreased 4.3 percent to 7.82 euro cents. At September 30, 2023, the Group had cash, cash equivalents, interest-bearing deposits, undrawn general and overdraft facilities, and aircraft-specific financing facilities totaling €13.7 billion. IAG has reduced their net debt versus Q3 2022 by €3.1 billion to €8.0 billion.
In Friday’s announcement, IAG’s Chief Executive Officer, Luis Gallego, said,
“This quarter represents a record third quarter performance for IAG. This is allowing us to invest in the business and reduce a significant amount of our debt. During the third quarter we saw sustained strong demand across all our routes, in particular the North and South Atlantic and in all leisure destinations around Europe. We continue to develop our hubs of Barcelona, Dublin, London, and Madrid, supported by our fleet deliveries and future orders.
“Our strong financial performance is enabling investment in our people and allowing us to further improve customer experience. At the same time, we will keep working towards our sustainability goals. We would like to thank all our employees across the Group for their contribution to this performance.”
IAG's Nine Month and Third Quarter 2023 Financial Results - Courtesy IAG
During the third quarter, Aer Lingus’ total revenue increased versus last year by 16 percent, while British Airways’ revenue increased year-over-year by 20 percent. Iberia’s Q3 revenue grew 19 percent compared to the same period last year, and Vueling delivered a record operating profit of €282 million.
For the nine month period ending September 30, 2023, IAG took delivery of 20 new aircraft, including 12 narrowbody jets across all airlines and eight widebody aircraft for British Airways and Iberia. As previously announced during the company’s H1 results last July, IAG has also ordered six Boeing 787-10 Dreamliners for British Airways and one Airbus A350-900 for Iberia.
Source: IAG/LEI: 959800TZHQRUSH1ESL13