New Delhi: The International Air Transport Association (IATA) on Sunday downgraded outlook for the global aviation industry’s profit to $28 bn from $35.5 billion, forecast in December 2018. The revised outlook is also lower than the net profit estimate for 2018, which IATA had pegged at $30 bn. “The business environment for airlines has deteriorated with rising fuel prices and a substantial weakening of world trade,” the association of global airlines said in a statement. “In 2019, overall costs are expected to grow 7.4%, outpacing a 6.5 per cent rise in revenues. As a result, net margins are expected to be squeezed to 3.2 per cent (from 3.7 per cent in 2018). Profit per passenger will similarly decline to $6.12 (from $6.85 in 2018),” it said. (IANS)
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