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British Airways Owner Sees Rebound in Transatlantic Market

Kate Duffy
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⚡ Quantum Brief
International Airlines Group (IAG), owner of British Airways, reported strong first-quarter bookings in February 2026, driven by rebounding transatlantic travel demand and lower fuel costs. The company forecast steady mid-term profit margins, citing sustained demand on its most lucrative transatlantic routes as a key growth driver. IAG’s adjusted operating profit for fiscal 2025 reached €5.02 billion ($5.9 billion), slightly exceeding analyst estimates of €4.99 billion. The rebound in transatlantic travel follows post-pandemic recovery trends, with premium routes delivering higher yields and occupancy rates. Lower fuel prices contributed to improved financial performance, offsetting operational challenges and supporting profit stability.
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Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the worldAmericas+1 212 318 2000EMEA+44 20 7330 7500Asia Pacific+65 6212 1000Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the worldAmericas+1 212 318 2000EMEA+44 20 7330 7500Asia Pacific+65 6212 1000Transatlantic routes are the most lucrative for IAG.British Airways owner IAG SA said bookings for the first quarter are strong and predicted steady mid-term margins as it benefits from lower fuel costs and a rebound in transatlantic travel.Adjusted operating profit for fiscal 2025 was €5.02 billion ($5.9 billion), compared with the €4.99 billion average of analyst estimatesBloomberg Terminal compiled by Bloomberg.

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