Strong July For IATA Airlines, Mixed Picture Looking Ahead
It was a strong July for IATA member airlines.
Total revenue passenger kilometers (RPKs) rose 8.2%, an improvement on
the June year-over-year increase of 5.5%.
July capacity (available seat kilometers or ASKs) increased by 6.5%, and
load factor rose 1.4 percentage points to 83.6%.
Despite the strong results, jittery stock markets are causing concern.
“July results were strongly positive but slowing global trade and the wild
gyrations of stock exchanges around the globe suggest that we may be in for
some turbulence in coming months,” said Tony Tyler, IATA’s Director General
July international passenger demand rose 8.6% compared to the same month
in 2014, with airlines in all regions recording growth, including Africa for
the 1st time this year. Total capacity climbed 6.5%, pushing load
factor up 1.6 percentage points to 83.5%.
Here in North America, traffic rose 5.3% compared to July a year ago,
more than double the 2.6% rise achieved in June year over year. Capacity
climbed 3.5% and load factor rose 1.4 percentage points to 86.5%. IATA believes
expectations for better economic performance are supporting travel demand.
All markets showed growth with the strongest increases occurring in
India and China. Domestic capacity climbed 6.5%, and load factor improved 0.8
percentage points to 83.6%.
Tyler summed up the forecast going forward: “Following a strong summer
the outlook heading into autumn is unsettled to say the least. The downward
movement in stock markets around the globe reflects investors’ growing concerns
about slowing trade and economic growth in emerging economies, as well as
China’s continued shift towards domestic markets,” said Tyler.