IAG Shares Gain on Third-quarter Revenue Growth Despite Higher Fuel Costs, Disruption

05:06 AM EST, 11/06/2026 (MT Newswires) -- Shares in International Consolidated Airlines Group (IAG.L) rose on Friday after the airline holding company posted higher third-quarter revenue despite "very high" fuel prices and operational disruption events amid the Middle East conflict. IAG recorded total revenue of 9.74 billion euros for the three months ended Sept. 30, up from 9.33 billion euros in the prior year. The company attributed revenue growth to long-haul yields across all of its main markets, with the North and South Atlantic regions showing "very strong performance." "We continue to expect good revenue growth, with 85% of expected forward bookings for the fourth quarter now secured. Bookings for the first quarter of 2027 are currently strong," the British Airways owner said in its earnings release. Shares were up 2% in both London and Madrid during early trading. Profit after tax, however, declined to 1.23 billion euros from 1.40 billion euros. Profitability was affected by "significantly higher fuel costs and operational disruption," the company added. IAG estimates its total fuel cost for 2026 to be 8.9 billion euros based on the jet fuel curve and foreign exchange rates as of Nov. 3. Fuel prices for 2027 are currently 45% hedged. Meanwhile, the company's board increased the interim dividend by 10% to 0.053 euro per share.