Aer Lingus repeats "strong belief" in IAG merger as profits take off
Increased travel on its long-distance routes saw Aer Lingus’ full year operating profits rise 18% year-on-year to €72m (£52.76m).
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In the 12 months to 31 December, the Ireland-based airline reported a 9.2% increase in revenue to €1.55bn, while total network passengers surpassed 11m for the first time in its history.
The Irish carrier reported a pre-tax loss of €180m after taking a one-off charge to resolve pension funding issues and the settlement should ensure that, in the future, pension provision for non-pilot employees are sustainable.
The airline reported a 28.4% increase in revenue from long haul passengers’ fare to €490m, while the average fare per seat increased 9.4% and the average short haul fare per seat rose by 2.5%, with revenue on short haul flights edging €2m higher to €791m.
Last month, Aer Lingus’ board recommended a €1.36bn takeover offer from International Consolidate Airlines Group (IAG) subject to the Irish government selling its 25% stake but the proposal has been met by strong political resistance.
However, the airline’s board has insisted that the deal would boost its potential for growth.
"To enhance these excellent results and to accelerate Aer Lingus' growth, it is the board's strong belief that the company should now take the opportunity to combine with IAG," said group chairman Colm Barrington.