BA's profits up £300m as parent IAG posts losses of £860m
British Airways' parent, International Consolidated Airlines Group (IAG), yesterday presented Group consolidated results for the year to 31 December, 2012, showing an operating loss of €997m (£860m), whilst BA itself made an operating profit of €347m (£300m).
Operating loss for the year to December 31, 2012 of €23 million before exceptional items (2011: operating profit €485 million). After exceptional items operating loss for the year - not including Iberia restructuring and impairment - was €68 million.
Before exceptional items, British Airways made an operating profit of €347 million for the year but Iberia - which made an operating loss of €351 million - dragged IAG's overall profits down. IAG's non-operating charges for the year were €384 million, including €266 million related to non-cash pensions accounting requirements.
Loss before tax for the year of €997 million (2011: profit before tax of €503 million) including restructuring charge of €202 million for the Iberia transformation plan and €343 million impairment of Iberia intangible assets.
Revenue for the year was up 10.9% to €18,117 million (2011: €16,339 million), including €872 million or 5.4% currency impact. Passenger unit revenue for the year up 9.4%, on top of volume increases of 2.8%.
Capital investment of €1,239 million (2011: €1,071 million) including over €400 million on pre-delivery payments for future aircraft.
Cash of €2,909 million at December 31, 2012 was down €826 million on 2011 year end (December 2011: €3,735 million). Group net debt up €741 million to €1,889 million (December 2011: €1,148 million).