IAG Cargo reported growth in both revenues and cargo traffic in the first quarter of the year, driven by rising demand and elevated airfreight rates.
The cargo division of International Airlines Group, which manages freight for British Airways, Iberia, Level, and Aer Lingus, posted a 7.5% year-on-year increase in cargo tonne kilometres (CTK), reaching 1.3 billion. Revenues rose by an even stronger 12.4% to €318 million, supported by a 4.5% increase in yield.
The company said the traffic figures reflected general market conditions, while it strategically focused on higher-margin segments.
“Cargo demand continues to be positively impacted by disruptions to sea freight in the Red Sea. The Group also prioritised premium products and high-yielding regions, including Asia Pacific and the Middle East,” IAG said in its quarterly report.
According to airline association IATA, the global air cargo market grew by 2.4% in the first quarter, though performance varied across trade lanes.
Two of IAG Cargo’s key capacity markets posted some of the strongest growth. In March, IATA data shows the Europe–North America corridor led with an 8.5% year-on-year increase, while Europe–Asia was close behind with an 8.3% rise.
In comparison with its European competitors, IAG Cargo was mid-tier in terms of traffic expansion. The Air France–KLM Group reported a 4.6% increase in revenue tonne kilometres, while the Lufthansa Group saw a stronger 8.9% rise during the same period.