Aer Lingus passenger numbers in January to March 2024 were up 5.5pc to 2.1m. The airline reported an operating loss of €82m for the first quarter of 2024, in line with Quarter 1 of 2023 and following a full year 2023 operating profit of €225m. Within the International Airlines Group (IAG) group Iberia reported a profit of €70m and BA €22m. IAG loyalty reported a profit of €70m and Viueling a loss of €25m.
The early months of the year are challenging for airlines due to decreased travel during the winter months in the northern hemisphere.
Revenue increased and overall capacity grew by 4pc compared to Q1 2023, the operating loss remained in line with Q1 2023 due to higher costs. The increased capacity reflected an early Easter and more premium leisure traffic. Capacity on North American routes increased by 2pc with Europe up 7pc. ASK was up 4.0 and load factor flat at 74.9pc.
Overall IAG results a potential recovery from the pandemic. IAG is hoping that capacity constraints from covid will meet demand, keeping ticket prices high, and that fuel prices will remain low.
If IAG successfully acquires Air Europa, a smaller European carrier, it will add another source of profits and indicate a positive outlook for the European carriers.
Lynne Embleton, CEO, Aer Lingus said, “Our Q1 2024 financial results were in line with Q1 2023 in what is typically the weakest quarter of the year. We are committed to our growth strategy for Aer Lingus that will benefit the company, our employees, our customers, and the economy. However, it is critical that we remain focused on managing our cost base and that economic growth is not constrained by the passenger cap issue at Dublin Airport. Dublin Airport is a critical piece of strategic national infrastructure, and the passenger cap issue needs to be urgently resolved – this requires both leadership from Government and action by the parties involved.”
The airline’s summer season has now started, and Aer Lingus is operating its biggest ever North American network in Summer 2024 including the commencement of new services from Dublin to Minneapolis St. Paul and Denver and an expanded European leisure network. Aer Lingus continues to invest in improving customer experience, including redeeming AerClub flights on aerlingus.com, a new menu on long-haul services, a wider range of in-flight entertainment options, refurbished aircraft interiors, upgraded onboard Wi-Fi and a new lounge in Terminal 3 at Chicago O’ Hare Airport. Aer Lingus will also benefit from an agreement between IAG and a California based company Twelve, to secure the production of e-SAF for airlines in the group, a key element in achieving sustainability objectives.
