Aviation profitability to improve:IATA
IATA’s business confidence index shows cargo yields will rise in next 12 months
October 23, 2012
52 per cent air cargo volumes Airline business confidence airline CFO airline performance cargo market outlook cargo traffic challenging heads of cargo IATA October outlook quarterly survey respondents
Airline business confidence improved in October, according to IATA’s quarterly survey of airline CFOs and heads of cargo with 48 per cent of respondents expecting an improvement in profitability over the next 12 months. The report mentioned that although the outlook for airline performance was becoming positive, the current conditions remained challenging.
For the cargo market outlook, the number of respondents expecting an increase in cargo traffic over the next 12 months increased from 42.9 per cent in July to 52 per cent in October. If the present increase that has been seen continues in the coming months, cargo markets could benefit from an improved demand environment over the next year.
Cargo business outlook is more positive in October compared to July, with cargo yields now expected to increase over the next 12 months. This view could be due to the outlook for improved air cargo volumes.