IAG, the airline consortium that owns British Airways, lost almost £5,000 per minute during the first three months of 2022 – but is set to become profitable in spring and summer.
Fuel costs quadrupled, as a result of increased flying and soaring oil prices.
In the first three months of 2022, the operating loss was €731m (£608m), a reduction of almost one-third compared with the same spell in 2021.
The group – which includes Aer Lingus of Ireland plus Iberia and Vueling of Spain – says its capacity between January and March was 65 per cent of 2019, with cancellations due to the Omicron variant of Covid-19.
Between April and June it intends to fly 80 per cent of 2019 capacity, with 85 per cent between July and September and 90 per cent from October to the end of the year.
Across the North Atlantic, capacity is “close to full”.
The statement said British Airways is “improving operations and customer experience, including moderating planned capacity at Heathrow”.
BA is cancelling around 100 domestic and European flights per day, but says it is giving passengers enough advance notice to make alternative plans.
IAG said there was “no noticeable impact from the war in Ukraine” on demand.
The IAG chief executive, Luis Gallego, said: “Premium leisure continues to be the strongest performing segment and business travel is at its highest level since the start of the pandemic.
“As a result of the increasing demand, forward bookings remain encouraging.
“Globally the travel industry is facing challenges as a result of the biggest scaling up in operations in history and British Airways is no exception. The welcome removal of UK’s stringent travel restrictions, combined with strong pent-up demand, has contributed to a steep ramp up in capacity.
“The airline’s focus at the moment is on improving operations and customer experience and enhancing operational resilience.”
The airline filled 72 per cent of its available seats between January and March.
