The June report of the Airlines Financial Monitor.
Key points:
- Worldwide airline share prices fell 2% in June compared to May as a result of the recent rise in jet fuel prices;
- Jet fuel prices rose in June amid rising concerns over crude oil supply disruptions due to conflict in Iraq;
- Q1 financial results show strong gains for US airlines’ performance, but declines in Asia Pacific due to cargo weakness and cost pressures for Chinese carriers from the depreciating Yuan;
- US passenger yields are up after declines in Q1, but weakness continues in other regions;
- Air travel markets continue to expand strongly and air freight demand recorded a small improvement in May, consistent with a rise in world trade volumes and business confidence;
- Expansion in available seats stabilized in May and is now broadly in line with growth in demand;
- Passenger loads have rebounded on the back of stronger demand, but air freight load factors weakened further due to accelerating expansion in capacity.
Airlines Financial Monitor Jun 14
Theodore is the Co-Founder and Managing Editor of TravelDailyNews Media Network; his responsibilities include business development and planning for TravelDailyNews long-term opportunities.
