IAG Q12025 cargo revenue up 12% on higher yields
Cargo tonne kilometres (CTK) increased 7.5% to 1.3 billion in the first quarter.;
International Airlines Group (IAG) reported a 12.4 percent increase in cargo revenue at €318 million for the first quarter of 2025 compared to €283 million in the same period last year on strong yields.
Cargo tonne kilometres (CTK) increased 7.5 percent to 1.3 billion while cargo revenue per CTK increased five percent to 24.31 cents, says an official release.
"Cargo demand continues to be positively impacted by disruptions to sea freight in the Red Sea. The Group also prioritised premium products and high yielding regions, including Asia Pacific and the Middle East."
Total revenue for the first quarter was up 10 percent at €7 billion and profit after tax came in at €176 million as against a loss of 93 million in Q12024.
"Our strong first quarter results reflect the performance of our businesses and the effectiveness of our strategy and transformation," says Luis Gallego, Chief Executive Officer, IAG. "We continue to deliver on our industry-leading financial targets. We remain focused on strengthening our broad portfolio of market-leading brands across our core markets of the North Atlantic, Latin America and intra-Europe.
"Our commitment to financial strength and shareholder value is reflected in €530 million of share buybacks completed in 2025 so far, alongside a proposed final dividend of €288 million, which brings our total dividend for 2024 to €435 million."
The official release confirms that five new aircraft were delivered in the quarter ending March 31, 2025. The group also exercised options for six Airbus A350-900 aircraft for Iberia, six Airbus A350-1000 aircraft for British Airways and six Boeing 777-9 aircraft for British Airways. These deliveries and future orders are part of the group’s ongoing investment in new, modern aircraft to drive operational efficiency, reduce emissions and enhance onboard products for customers. The aircraft will be delivered between 2027 and 2030.
In addition, IAG has today ordered 53 aircraft for its medium-term long-haul fleet requirements. The group has ordered 21 Airbus A330-900neo aircraft and 32 Boeing 787-10 aircraft for delivery from 2028 to 2033. The aircraft are mainly for replacement, with around one third for growth in IAG's core markets.