Overview
- Passenger traffic is forecast to rise 4.4% to about 5.2 billion travelers, with global load factors averaging 83.8%.
- The industry’s net margin is projected at roughly 3.9% and profit per passenger at $7.90, a level Willie Walsh contrasted with the return on an iPhone case.
- Europe is set to lead profitability at $14 billion with an estimated 4.9% net margin, as European low-cost carriers outperform legacy rivals on net margin.
- Supply-chain delays are keeping older jets in service, adding roughly $11 billion a year in extra costs, including about $4.2 billion in fuel and $3.1 billion in maintenance.
- The aircraft order backlog exceeds 17,000 jets, and although deliveries are expected to increase in 2026 they remain below historical norms, keeping capacity a binding constraint.