Iberia reports a 52% rise in profit for first nine months of 2004

Airline Industry Information, Oct 29, 2004

AIRLINE INDUSTRY INFORMATION-(C)1997-2004 M2 COMMUNICATIONS LTD

Spain's biggest airline Iberia has reported a 52% increase in profits in the first nine months of 2004 thanks to strong revenue and widespread cost cutting.

The airline's net profit rose to EUR167m off a revenue which rose by 4% at EUR3.59bn. Iberia's cuts in on-board services and commercial outlay allowed it to offset the increase in fuel costs which have damaged so many of its rivals and it added that it expects a slight improvement in the fourth quarter of 2004 in revenue per available seat.

Iberia's load factor rose to 76.1% over the same period in 2003 with its income for the full year to be above EUR200m up from EUR146m in 2003 but still below the 2002 result of EUR221m, reports Reuters.

((Comments on this story may be sent to aii.feedback@m2.com))