IAG, the parent company of British Airways, among others, is losing money on the stock market after operating profit declined during the fourth quarter.
Operating profit amounted to EUR 585 million, compared to EUR 620 million from the same period in 2016.
For the full year, however, operating profit rose by 19 percent to three billion euros, which is in line with expectations, writes the Financial Times.
Revenue for the full year was up 1.8 percent to 23 billion euros.
The key industry metric RPK (revenue per passenger kilometer flown) in local currency increased to 2.4 percent in the fourth quarter, compared to 2.2 percent in the previous quarter.
For the full year, however, the increase was only 1.5 percent and, taking into account currency fluctuations, there was a decrease of 1 percent.
As expected, IAG confirmed a further share buyback of £500 million.
On the stock exchange, the reception to the report has been lukewarm and the stock is down 4.4 percent an hour and a half into trading.
Source: finwire
