Aer Lingus has posted operating profits of €225m for 2023 – €168m more than in 2022, and driven by strong demand in leisure travel on both its short and long haul routes.
In 2023, Aer Lingus served 10.7 million passengers, operated its largest-ever North American network and added more routes and capacity to European destinations from Ireland. Business travel in 2023 lagged pre-Covid levels but is showing some signs of recovery in early 2024. The financial performance in 2023 is not yet at 2019 levels of profitability and margin due to higher operating costs.
Aer Lingus’ CEO, Lynne Embleton heralded the results, but also criticised the Dublin Airport passenger cap: “These results put Aer Lingus on the right trajectory for the future. We have a compelling growth strategy for Aer Lingus that will be good for the company, our employees, our customers and for Ireland. However, achieving it is dependent on having the right cost base and productivity levels and not being constrained by the unnecessary passenger cap issue. These challenges will need to be resolved by a collaborative and sensible approach by all stakeholders that delivers the right outcomes.”
Aer Lingus’ parent IAG – which also owns British Airways, Vueling, Iberia and LEVEL – saw its operating profit surge to €3.5bn, from €1.3bn in 2022. Total group revenue grew from €23bn, in 2022, to €29.4bn last year.
IAG chief executive, Luis Gallego, said: “In 2024, we will execute on our strategy, building long-term value into the business. We will focus on strengthening our core airline businesses and on developing IAG Loyalty and our other asset-light growth opportunities, and we will do this while operating under a strong financial and sustainability framework.
“Our airlines operate in the largest and most attractive markets, globally, and we will continue to invest in our brands to transform the business, improve the customer experience and support the delivery of sustainable growth and world-class margins.”
