Aer Lingus owner IAG report profit of €805m for Q2 - up from €555m for same period in 2016

IAG have reported operating profit of €975m for the first six months of the year, up 37.3pc on €710m for the same period in 2016.

This includes the adverse impact of foreign exchange for the half year of €44m, according to the company announcement on Friday.

IAG owns British Airways, Iberia and Vueling as well as Aer Lingus, and has recently launched Level  - a Barcelona based low cost, long haul airline to take on players like Wow and Norwegian Air Service.

For the second quarter, operating profit of €805m was reported, compared with €555m for the same quarter in 2016.

Passenger unit revenue for the second quarter of 2017 rose by 1.5pc.

Meanwhile, non-fuel unit costs for the quarter were down 0.3pc; these costs include the financial impact of the power failure which affected British Airways’ customers.

Fuel unit costs for the same period were down 10.4pc

The group reported cash of €7,944m as at June 30, 2017; up from the €1,516m at 2016 year end.

Adjusted net debt to EBITDAR (Earnings before interest, taxes, depreciation, amortisation, and restructuring or rent costs) improved by 0.4 to 1.4 times.

"We’re reporting a very strong performance in quarter 2 with an operating profit of €805m before exceptional items which is up from €555m last year," Willie Walsh, IAG Chief Executive Officer, said.

"The underlying trend in unit revenue improved, benefitting partially from Easter and a weak base last year.

“In June, LEVEL started longhaul flights from Barcelona to four destinations. Sales continue to be well ahead of our expectations. We’ve ordered three additional aircraft and are considering other European bases for the operation."

According to the statement, IAG expects its operating profit for 2017 to show a double-digit percentage improvement year-on-year.