IATA projects that airlines will achieve a net margin of 3.9% in 2026

IATA published its latest global financial outlook for the airline industry, estimating that airlines will achieve a net profit margin of 3.9% in 2026, the same as in 2025, but with total profits expected to rise to $41 billion. The forecast projects operating revenues of $72.8 billion—up from $67 billion in 2025—with an expected operating margin of 6.9%. Total industry revenues are anticipated to reach $1.053 trillion, a 4.5% increase over 2025.

The report highlights that the number of passengers is projected to grow to 5.2 billion in 2026, a 4.4% increase over the previous year. Air cargo is projected to reach 71.6 million tons, a 2.4% rise.

However, IATA warns that structural challenges persist: supply chains continue to limit aircraft availability, forcing airlines to operate aging fleets and driving up maintenance, fuel, and leasing costs. Furthermore, while revenues are growing, non-fuel costs—salaries, maintenance, leases, taxes, and airport charges—remain a constant pressure on profitability, in a global context of inflation and rising regulatory costs.

Thus, although the outlook for 2026 is more optimistic, IATA emphasizes that the profit margin remains modest compared to other transport industries, and lower than that of suppliers such as engine manufacturers, maintenance companies and specialized services.

Source: IATA.