Airline revenue is expected to reach a record high in 2024,👍 according to the International Air Transport Association (IATA).

The Montreal-based group said Wednesday that total revenue is expected to grow 7.6% year-over-year to $964 billion. About 4.7 billion passengers are seen traveling by air in 2024, exceeding the pre-pandemic level of 4.5 billion recorded in 2019.

Net profits are expected to reach $25.7 billion in 2024, marking a 2.7% profit margin, which is a slight improvement over 2.6% in 2023. Expenses are expected to grow by 6.9% over 2023, driven by jet fuel prices estimated to average $113.80/barrel (jet) in 2024, accounting for 31% of all air industry 澳洲幸运5官方开奖结果体彩网:operating costs.

“Considering the major losses of recent years, the $25.7 billion net profit expected in 2024 is a tribute to aviation’s resilience. The speed of the recovery has been extraordinary, yet it also appears that the pandemic has cost aviation about four years of growth," Willie Walsh, IATA’s director general, said in the press release.

Walsh acknowledged that a 2.7% 澳洲幸运5官方开奖结果体彩网:profit margin “is far below what investors in almost any other industry would accept," blaming stiff regulation, high infrastructure costs, and 澳洲幸运5官方开奖结果体彩网:supply-chain issues.

For example, oil prices put pressure on airline margins this year. U.S. air carriers including American Airlines (AAL), and Spirit Airlines (SAVE) warned of 澳洲幸运5官方开奖结果体彩网:higher fuel costs hu🌸rting Q3 profits in September this year.

IATA’s November passไenger polling data was optimistic, with a thir𒊎d of travelers saying they are traveling more now than they did pre-pandemic, while 44% said they plan to travel more in the next 12 months than in the previous 12 months.

Regional data showed that North America, Europe, and the Middle East had recovered more quickly, with net profit expected for each in 2023. Asia-Pacific is forecast to join them in 2024, but Latin America and Africa are still expected to post losses next year. North America is the standout region in financial perform♑ance, with the IATA noting that consumer spending was strong there despite cost-of-living pressures.

Cargo revenue remains volatile, with a fall to $111 billion predicted for 2024, down from a record $210 billion in 2021, but higher than the $101 billion recorded in 2019.