Feb. - International Airlines Group (IAG), parent company of British Airways, delivers a consensus-beating annual profit thanks to a strong performance from BA and its low-cost Spain-based carrier Vueling. Hayley Platt reports.
International Airlines Group, the parent company of British Airways, flies back into profit. It made 770 million euros in the 12 months to December, narrowly beating expectations. That's a big improvement from the 23 million euro loss of last year. IAG says it's largely thanks to a recovery at Iberia. The group formed when Iberia and BA merged in 2011. But Spanish airline has been dragging down the group's earnings ever since. IAG has had to cut jobs and pay at the struggling Spanish carrier. And that's been difficult where deep recession has already left one in four of the country's workers without a job. Other acquisitions have been more lucrative. The group has benefitted from extra take-off and landing slots at London's Heathrow after it took over the UK carrier BMI in 2012. Buying the profitable budget carrier Vueling has also helped. IAG says it's on track to increase profits by the end of 2015.