IAG lowers capacity growth and EPS forecasts
British Airways and Iberia owner International Consolidated Airlines Group on Friday cut its estimates for capacity growth over the next three years as a result of a weakening global economy, denting its earnings per share forecasts.
IAG said available seat kilometres were set to grow 3.4% per year between 2020-2022, but that number was significantly lower than its previous estimate of 6% for the 2019-2023 period.
IAG also lowered its average earnings per share growth estimate to 10%+ per year from 12%+ on the back of the decreased capacity growth.
In October, IAG saw revenue passenger kilometres grow 5.6% year-on-year to 228,875, while the number of passengers carried increased 4.7% to 96,269.
Chief executive William Walsh will update investors further on the state of the group later in the day at IAG's capital markets day event.
At 0845 GMT, the shares were down 1.1% at 538.60p.