IATA survey of airline and cargo bosses saw Q2 profits rise

IATA survey of airline and cargo bosses saw Q2 profits rise

15 Aug 2017

An IATA survey found that more than three-quarters of airline chief financial officers and heads of cargo indicated that profitability increased in the second quarter of 2017 compared to the same period of 2016. However, IATA added that the first quarter may have marked the bottom of the industry profitability cycle. The airline and cargo executives were surveyed in early-July for IATA’s quarterly business confidence index.

Said IATA: “Industry heads were markedly more confident about the outlook for profitability over the year ahead than they have been in recent surveys, mainly reflecting expectations that the demand backdrop will remain robust.

“Once again, the survey responses were consistent with the strong opening to 2017 for both passenger and freight volumes.”

Given the broad-based pick-up in global economic conditions, more than four-fifths of respondents expect passenger volumes to rise over the next 12 months, while the majority of respondents expect airfreight volumes to continue their positive growth trend over the year ahead too.

Half of the respondents reported a decrease in operating costs in the second quarter compared to a year ago, in part reflecting efficiency gains and optimization efforts by airlines.

Added IATA: “While 19% of respondents still expect unit costs to rise over the year ahead, the overall outlook for unit costs was weaker than in previous surveys.

“Meanwhile, responses on the yield side were consistent with the bottoming out in passenger yields, and upward trend in freight yields, that we have observed in recent months; 43% of respondents reported higher passenger yields in Q2 2017 compared to a year ago – the highest proportion in nearly six years.”

Airline employment activity increased for the tenth consecutive quarter in Q2 2017. Some 44% of respondents reported that they expect to increase employment levels over the year ahead.

Customized Solutions

Secure, reliable, efficient air cargo services — you can have it all. We offer customized solutions based on a complete understanding of your supply chain needs and challenges.

Contact Us

Get in touch


Became part of an affordable and magically effective platform that’s transforming how the global air freight community operates.


Here you’ll find answers to the most common questions about our products and services.

Stay informed with the latest Industry Headlines. By submitting this form you agree to the Terms and Conditions as set out by Calogi.