15th Nov 2013 07:52
LONDON (Alliance News) - International Consolidated Airlines Group PLC Friday raised its 2015 operating profit target on the back of its acquisition of Spanish airline Vueling, improved expectations for British Airways and its ongoing restructuring of Iberia.
In a statement ahead of a capital markets day, the airline group said it is now targeting a EUR1.8 billion operating profit in 2015, up from its previous forecast for EUR1.6 billion. It raised its target for British Airways to GBP1.3 billion, from GBP1.1 billion, citing improved margins.
Setting out other targets, IAG said it is aiming for earnings per share equal to or above 54 euro cents, while keeping leverage at around 55%.
Excluding the newly acquired Spanish low-cost carrier Vueling, IAG said it is heading for a business model that could sustain organic growth of 2% to 3% beyong 2015, assuming capital expenditure of between EUR2 billion and EUR2.2 billion and "providing market level returns for our shareholders."
By Steve McGrath; [email protected]; @SteveMcGrath1
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