IAG Reports €1.88bn H1 Profit on Strong Travel Demand

International Consolidated Airlines Group (IAG), the owner of British Airways, Iberia, Aer Lingus, and Vueling, reported a 44% increase in net profit to €1.3 billion for the first half of 2025, driven by strong travel demand and a structural shift in consumer spending towards travel. Group revenue rose 8% to €15.9 billion, with transatlantic routes performing well despite concerns over geopolitical and macroeconomic uncertainties, including the impact of President Donald Trump's tariff war. IAG's operating profit for the second quarter reached €1.68 billion, surpassing analyst expectations and marking a 35% increase year-on-year. The company remains optimistic about delivering solid earnings growth for the full year while acknowledging ongoing external risks. IAG also announced a significant aircraft order with Boeing and Airbus, signaling confidence in the aviation sector's recovery. The group's strong financial results underscore resilience in the airline industry amid evolving global challenges.