IATA Forecasts Record Profit of US$41 Billion for Airlines in 2026
The International Air Transport Association (IATA) anticipates that airlines will close 2026 with a record profit of $41 billion. This forecast comes in a context marked by delays in aircraft deliveries and supply chain difficulties affecting both manufacturers and operators.
Adjustments to production schedules continue to be a problem. Airbus has reduced its delivery target for 2025 due to a defect detected in metallic fuselage panels on some A320s.
IATA Director General Willie Walsh noted that companies have managed to develop a structure capable of absorbing impacts and sustaining stable levels of profitability. He added that the slight drop in fuel prices may ease costs, although regulatory expenses in Europe and uncertainty generated by conflicts, drone incursions, and GPS signal problems are limiting even greater performance.
Europe Leads in Profitability
IATA’s analysis highlights Europe as the region with the highest profitability per passenger. The trend reflects an improvement in companies’ efficiency and an operating environment that, although complex, has been managed with better financial and operational tools.
Walsh stated that confidence in Airbus has been affected, while perception of Boeing has improved. Supply problems remain, but the industry acknowledges a recovery in the performance of the U.S. manufacturer.
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Recent Difficulties for Airbus
This month, Airbus cut its targets after detecting defects in fuselage panels on some models. The decision came just days after the company called for the inspection of 6,000 A320 family aircraft due to a software fault related to solar radiation.
According to Walsh, Boeing’s recent progress has shifted market perception. He indicated there is a general recognition of the U.S. manufacturer’s improvement and a reduction in confidence toward Airbus due to current issues.
The executive regretted that the industry will receive fewer new aircraft than planned, a situation that limits fleet modernization.
Engines: The Major Bottleneck
Airbus reduced its delivery target by 4% and confirmed that the pace had already slowed in November. This occurred weeks after the A320 family surpassed the Boeing 737 as the most delivered passenger aircraft in history.
Walsh pointed out that engines are the main bottleneck. He explained that engine manufacturers take much longer than aircraft makers to supply new and repaired units, forcing delays in various production programs.
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