The International Airlines Group (IAG), owner of British Airways, Iberia and Vueling, has reported a big rise in its annual profit.
IAG declared pre-tax profits of €828m (US$929m) for the year ending December 31 and said its healthy profits were enhanced by lower fuel prices in the fourth quarter and the ongoing introduction of more fuel-efficient aircraft. Operating profits almost doubled to just more than €1bn (US$1.1bn) and IAG has raised its 2015 forecast by 20%.
British Airways delivered an operating profit of €1.2bn (US$1.3bn), up from €762m (US$854m) in 2013, while the Spanish airline Iberia recorded a profit of €50m (US$56m) having made a loss of €166m (US$186m). The group’s low-cost carrier Vueling also reported a slight rise in annual operating profits to €141m (US$158m) having opened new bases in Brussels and Rome.
IAG is still pursuing a €1.36bn (US$1.52bn) takeover bid for the Irish flag-carrier Aer Lingus.