The International Air Transport Association says 2015 will be a bumper year for the world’s airlines with record income up nearly 80% on 2014.
Low fuel prices and a booming US economy are behind the leap,
but while all regions are doing well, some are faring better than others. More than half of the income is in the USA, where profit margins are double those in Europe. Seat occupancy rates are over 80%, the best ever, and for the first time the return on capital will exceed borrowing costs.
However the IATA cautioned that US airlines’ annual profits were only slightly higher than Apple’s second-quarter earnings, and that the entire industry lagged behind the technology sector.