International Consolidated Airlines Group has released results for the year to December 31st, 2014, revealing the operating profit €1,390 million.

This is up from €770 million in the previous year.

Revenue for the year up was up eight per cent to €20,170 million, while passenger unit revenue for the year was down 0.4 per cent at constant currency.

IAG controls British Airways, Iberia and Vueling, and is presently in talks over the potential purchase of Irish flag-carrier Aer Lingus.

In 2014 Iberia made an operating profit of €50 million, compared to an operating loss of €166 million last year.

IAG Willie Walsh said: “Iberia’s turnaround has been remarkable, both financially and operationally, and we’re very proud of its achievement especially its strong cost discipline.

“In 2013 we said our intention was for Iberia to breakeven in 2014 and it has fulfilled that promise.”

Walsh added: “British Airways’ operating profit increased to €1,215 million up from €762 million last year which shows significant progress towards its long term targets.

“Vueling made an operating profit of €141 million, compared to an operating profit of €139 million in 2013, with the airline focusing on flexible growth.”

Fourth quarter operating profit stood at €260 million for IAG, compared to €113 million last year.

Walsh continued: “We achieved a strong unit cost performance, down 4.1 per cent, through increased productivity, supplier cost savings and lower fuel unit costs.

“The latter was boosted by the introduction of more efficient aircraft into our fleet and lower fuel prices in the last quarter of the year.

“However, the positive effect of the oil price reduction has been partly offset by hedging and significant currency impact.”

At current fuel prices and exchange rates, IAG expects in 2015 to generate an operating profit in excess of €2.2 billion, with total fuel costs of around €5.9 billion, based on capacity growth of approximately 5.5 per cent.