IAG: shares tepid after better-than-expected quarter.
(CercleFinance.com) - British Airways owner International Airlines Group said on Friday it expects its operating profit to deliver double-digit growth compared to last year.
IAG, whose portfolio comprises BA, Iberia and Vueling, cited a very strong performance in the second quarter, with an operating profit of 805 million euros before exceptional items, up from 555 million euros last year.
The group's non-fuel unit costs before exceptional items were down 0.3 per cent for the quarter, up 3.5 per cent at constant currency.
"The underlying trend in unit revenue improved, benefiting partially from Easter and a weak base last year," said IAG chief executive officer Willie Walsh.
The group also said it expects second-half passenger-unit revenue to show an increase versus last year, at constant currency.
Analysts at UBS, who have a "buy" rating on the shares with a target price of 630 pence, cite a "better than expected" second quarter.
London-listed IAG shares were, however, down 0.9 percent at 590 pence after these results.
Copyright (c) 2017 CercleFinance.com. All rights reserved.
IAG, whose portfolio comprises BA, Iberia and Vueling, cited a very strong performance in the second quarter, with an operating profit of 805 million euros before exceptional items, up from 555 million euros last year.
The group's non-fuel unit costs before exceptional items were down 0.3 per cent for the quarter, up 3.5 per cent at constant currency.
"The underlying trend in unit revenue improved, benefiting partially from Easter and a weak base last year," said IAG chief executive officer Willie Walsh.
The group also said it expects second-half passenger-unit revenue to show an increase versus last year, at constant currency.
Analysts at UBS, who have a "buy" rating on the shares with a target price of 630 pence, cite a "better than expected" second quarter.
London-listed IAG shares were, however, down 0.9 percent at 590 pence after these results.
Copyright (c) 2017 CercleFinance.com. All rights reserved.