IATA RELEASES DATA FOR SEPTEMBER
(Posted 12th October 2016)
IATA, the International Air Transport Association, has just released key data for the industry’s performance up to September this year.
These latest financial results indicate that industry profitability and cash flow remained solid in Q2 2016, although the industry profitability cycle is showing signs of peaking;
Global airline share prices rose by 0.9% in September, but remain well below where they started the year;
Brent crude oil prices rallied towards the end of September following an agreement by OPEC to cut oil output. A rebalancing in the market is slowly taking place, with prices expected to trend upwards weakly in the years ahead;
The intense downward pressure on passenger yields looks to have eased during the middle months of 2016, in keeping with the change in the trend of oil prices;
The premium segment continues to offer a buffer for overall airline financial performance. Premium airfares have held up better than those in economy on many of the main premium routes so far this year;
Developments in passenger traffic continue to reflect the net influence of a number of factors. The upward trend in traffic has eased, but the seasonally-adjusted industry-wide load factor remains at historically high levels;
Conditions for air freight have improved from earlier in the year, but wider weakness in world trade volumes continues to present a stiff headwind. Low loads continue to keep cargo yields and revenues under pressure.
The full report by IATA is available as a PDF download and can be accessed by interested readers via the following link:
View full report (pdf)