IAG, the owner of Iberia, British Airways or Vueling,

reduced its losses in the first quarter of 2022 to 787 million

euros, almost a third less than the 1,074 million it had lost in the same period of the previous year, when they still weighed heavily plus restrictions on mobility to curb the pandemic.

The relaxation of the same this year is causing demand to recover and this translates into the figures: Revenues amounted to 3,435 million, compared to 968 million in 2021. Passenger revenues go from 459 million to 2,655.

"Demand is recovering strongly, in line with our forecasts.

We expect to recover profitability from the second quarter

onwards and in the full year," said Luis Gallego, CEO of IAG, in a note.

The group highlights the improvement in demand, as a result of the end of the restrictions, especially in the United Kingdom and

the increase in reservations, while business trips,

which have been practically at a standstill until now, "have reached their lowest level high since the beginning of the pandemic", Gallego highlights, emphasizing that the premium vacation segment shows the best evolution.

Omicron did have a brief negative impact in January and February, while

the war in Ukraine is having little impact

, according to the group.

Ability

Passenger transport capacity in the first quarter was 65% of what it was in 2019, seven points above that of the fourth quarter of 2021. From now on everything is expected to add up: in the second quarter it is expected reach 80%, 85% in the third and 90% in the fourth.

For the year as a whole, capacity will be around 80% of the 2019 figure.

One example of this rapid improvement in activity is

the situation at British Airways

: the removal of strict travel restrictions in the UK, coupled with a large pent-up demand, "has contributed to a sharp increase" in capacity.

A few weeks ago they even had to cancel some flights due to not having enough personnel to guarantee operations.

"Right now, the airline is focused on improving operations, improving the customer experience and reinforcing operational resilience," said Gallego.

Fuel costs

increased by 692 million euros

to 918 million

euros, due to the impact of the rise in oil prices as a result of the war in Ukraine.

The group explains that the impact on its figures has been less due to the group's hedging program.

Total liquidity as of March 31 was 12,360 million euros, which represents an increase compared to 11,986 million euros as of December 31, 2021.

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  • British Airways

  • United Kingdom

  • Ukraine

  • Iberia

  • Vueling

  • Petroleum