Tony Tyler (IATA): European air companies’ profit rate put at 1.3 pct in 2013
The profit rate of the European air companies is put at 1.3 percent in 2013, as compared to 0.7 percent in 2012, the International Air Transport Association (IATA) Director General Tony Tyler told an event dedicated to the Eastern European aviation here on Friday.
It is a low profitability. We do not make very big profits in this industry, which generates huge revenues, but also very high costs. The governments should not regard the air carriers as if they were a fat cow, which must be milked. If they tax too much, a low profit of these companies may transform into a great loss, Tyler said.
On a global level, the air companies recorded a profit of two dollars per passenger in 2012 and they might obtain four dollars per passenger in 2013. The European air companies made 1.6 billion dollars in profit last year, according to the IATA figures.