MONTREAL, Que.–IATA has released its June report of the Airlines Financial Monitor.
According to IATA, airline share prices have been falling because of investor profit taking, particularly in the US, but in June they were still up by 10% compared to a year ago. Q1 financial results show large improvement in profits, especially for US carriers but also in Asia Pacific.
Crude oil prices fell in June after a little rally in May, pushed down by expectations of supply increases from Iran and the US – levels are now down 45% on 2014 highs. Air transport volumes continue to expand robustly, while trend in FTKs stays flat on weakening trade activity, said the report.
Growth in seats accelerated in May as more aircraft came out of storage, surpassing expansion in demand. Air freight load factors fell further in May, sinking to levels not seen since mid-2009, but passenger loads were sustained above 80%.