IAG (International Airlines Group) parent company of Aer Lingus, British Airways, Iberia and Vueling—reported a 51.5% rise in 2015 net profit to €1.52 billion ($1.66 billion), compared to €1 billion in 2014. Full-year revenue was up 13.3% at €22.8 billion compared to €20.1 billion last time.
In capacity, ASKs rose 8.2% to 272.7 billion (of which 3.2% came from the inclusion of the Aer Lingus fleet) and load factor rose 1% to 81.4%, while RASKs rose 5.4% to 7.46 euro cents. Passenger numbers were up 14.2% at 88.3 million compared to 77.3 million last time.
Fuel costs for the year before exceptional items dropped 6.3%, while non-fuel costs before exceptional items were up 4.3%.
“We’re reporting very strong full year results,” IAG CEO Willie Walsh said. “These results are in line with our recent target and have exceeded our original 2015 operating profit target of €1.5 billion that we set in 2011.
“It’s undoubtedly been a good year, but it’s also been challenging, with extreme volatility in the currency and fuel markets. The benefits we gained from lower fuel prices have been partially offset by the stronger US dollar.”
IAG completed the acquisition of Aer Lingus over the summer and Walsh—a former Aer Lingus CEO—said the Irish flag carrier had made a positive contribution of €35 million since it formally joined the group on Aug. 18, 2015.
IAG said that Iberia, which for the early years of the consortium was a notable drag on the group, had made “significant progress on its “Plan de Futuro,” improving its cost base and recovering routes previously withdrawn. The turnaround of Iberia is leading to a profitable and efficient new airline capable of growing in its strategic markets and starting to achieve positive returns for the Group, with a positive after-tax profit of €155 million.”
In 2016, IAG anticipates it will generate an absolute operating profit increase similar to that in 2015, when it leapt 68% before exceptional items. Revenue trends for 1Q 2016 “appear broadly in line with those experienced in quarter four 2015.”
IAG (International Airlines Group) has appointed Javier Sánchez-Prieto as the new chairman and CEO of Spanish low-cost carrier (LCC) Vueling. He replaces Alex Cruz, who is due to become chairman and CEO of British Airways.
Parent company to Aer Lingus, British Airways, Iberia and Vueling is IAG.
Sánchez-Prieto will move into his new post from his current role as Iberia’s CFO. In his new role he will report to IAG CEO Willie Walsh and join IAG’s management committee.
“Javier has an excellent track record at Iberia and has been instrumental in achieving the airline’s financial turnaround,” Walsh said. “I’m confident that he will continue the great progress that Vueling has made the airline has expanded profitably across Europe while remaining focused on keeping costs low. Javier will develop that strategy.”
Sánchez-Prieto joined Iberia in 2013, having previously been CFO at the Spanish flag carrier’s low-cost arm, Iberia Express since its formation in 2012.
- 400 companies,12,000 professionals & 500 investors to come to the meeting.
- 2015 Export report:The improvement of competitiveness is one of the keys to this growth.
- Steady growth of around 6% year-on-year.
- Chemical industry accounts for more than a quarter of sales, European Union receives most of the region's exports and imports account for almost 63,000 M €.
Barcelona-El Prat Airport operated 333 private flights because of the Mobile World Congress (MWC) 2016, held this week at the Fira de Barcelona. This figure represents an increase of 230% compared to a normal week in February.
Much of this aviation was operated with larger aircraft such as the Bombardier BD-700 Global Express and Gulfstream, with 13% of operations originating from US airports. The most used aircraft were the models Cessna and Dassault Falcon (49%), mainly from Europe: the UK, Switzerland, France and Germany. Domestic corporate aviation and business flights represented 9%.
Low-cost carrier (LCC)Norwegian edged back into the black in 2015, recording a full-year profit of NOK246.2 million ($28.7 million), reversed from a loss of NOK 1.07 billion in 2014.
Revenue for the year was up 15% at NOK 22.5 billion, compared to NOK 19.5 billion a year previously, with ancillary revenues growing faster, up 20.1% to NOK 3.3 billion compared to the previous 12 months. Passenger numbers rose 7% to 26 million, while load factor climbed 4% to 86%.
Capacity grew 5% to 49 billion ASKs, while RPKs climbed 12% to 42.2 billion.
The large loss in 2014 was put down to rapid expansion of Norwegian’s fleet. Last year’s growth of just 5% “represented a breather in the company’s expansion, explained by fading out old aircraft while adding new aircraft to the fleet,” the company said.
Weaker figures toward the end of 2015 were attributed to a combination of adverse results on fuel hedging activities and the depreciation of the Norwegian currency against the dollar.
“We enter 2016 with favorable fuel costs and one of the youngest fleets in Europe, which presents a significant competitive advantage,” said CEO Bjørn Kjos, who warned of potential squalls on the horizon.
“We see a good demand for quality flights at affordable fares, but the unpredictable political decision to introduce passenger tax in Norway is creating an uncertain situation in this market. It is a paradox that the company with the lowest emissions seems to be punished the hardest.”
The tax, due to become effective from April 1, has already angered fellow-LCC Ryanairand there have been fears that any cuts in services to airports that depend heavily on LCC operators, such as Oslo Rygge, could have a serious effect on the future of the airports.
Barcelona will have the largest hospital of traditional Chinese medicine in Europe. According to the online edition of Expansión the investment will reach €80 million and the land to build the hospital has been donated by local authorities
The agreement was signed on 27th of January between the local minister of commerce of Catalonia and the general director of the Beijing administration of traditional Chinese medicine. The agreement also includes the introduction of Chinese medicine studies with the collaboration of two local universities (University of Barcelona and Univeritat Pompeu Fabra). According to officials, next September will see the introduction of a postgraduate program between the local universities and the University of Chinese Medicine in Beijing.
Officials are also contemplating the cultivation of medicinal plants and the production of Chinese herbal medicine. The University of Chinese Medicine has already sent specialists to treat patients on local hospitals.
According to sources of the European Foundation of Traditional Chinese Medicine the plan is to make Barcelona the European centre of Chinese medicine.