International Airlines Group sees profits increase as Iberia continues recovery

International Airlines Group sees profits increase as Iberia continues recovery

International Airlines Group has upgraded its profit forecast after it reported a 30 per cent rise in third quarter profits.

Operating profits at IAG - which owns both Iberia and British Airways - rose to €900 million in the three months to September 30th, up from €690m a year ago.

IAG added that it expected an improvement in annual operating profits of €550m-€600m, compared with previous guidance of a rise of at least €500m.

In addition, IAG also owns the Spanish airline Vueling.

IAG chief executive Willie Walsh, said: “We continued to grow capacity efficiently and both our non-fuel and fuel unit cost performances were strong with the latter boosted by the introduction of new, more efficient aircraft into our fleet.”

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Operating profits at British Airways rose to €607m from €477m a year earlier.

Profits at Iberia rose to €162 million from €74 million last year.