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FINANCIAL NEWS
Profits of ME carriers to grow to USD1.4b in 2013: IATA
21 Mar 2013
(MENAFN) The International Air Transport Association (IATA) stated that during the current year, profits of carriers in the Middle East are projected to rise to USD1.4 billion, compared with USD900 million in 2012, reported Arabian Business.
IATA added that the new forecast is also higher than an earlier one of USD1.1 billion.
The association attributed the higher forecast to better traffic growth resulting from the launch of new routes and services, mainly to developing markets.
Its aid that in terms of operating profitability, the region’s airlines rank third, with an Earnings Before Interest and Taxes (EBIT) margin of 3.4 percent, after Asia-Pacific and North America.
It is worth noting that in 2013, carriers in the Middle East are projected to add 12.8 percent in capacity, which will be surpassed by demand expansion of 13.7 percent.
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