IAG Cargo\u2019s 2016 full-year results out today show commercial revenue down 6.6 percent to \u20ac1.022 billion. \u201cThese are resilient results in the face of challenging market conditions,\u201d said Drew Crawley, CEO at IAG Cargo. \u201cGrowing supply from freighter and new-generation passenger fleets have continued to outstrip flat demand for general freight.\u201d
\nIAG Cargo phased out freighters in favor of bellyhold capacity
\nThe carrier will focus on cost management and its premium products to offset yield pressure and grow its revenue in the year ahead, Crawley said.
\nFreight tonne kilometers (FTK) rose 3 percent, to 5.4 billion, while cargo revenue per FTK, fell 9.3 percent to \u20ac18.74. In the context of decreased revenue, the results suggest that more volume is moving at lower prices. However, since the carrier doesn\u2019t release operating profits, this data doesn\u2019t measure the health of the company\u2019s freight operations. IAG also moves significant volume on Qatar Cargo freighters.
\nCrawley noted that falling demand over the second and third quarter placed downward pressure on yields. \u201cThe final peak months of the year brought some improvement, driven by stronger-than-expected consumer sales in December and a high demand for last-minute e-commerce products,\u201d he said.
\nIAG\u2019s new \u201cCritical\u201d product was a strong performer in 2016, processing more than 600 emergency shipments. In a statement, Crawley said that IAG\u2019s premium product mix was 20 percent, with the Constant Climate product registering \u201csignificant volume\u201d growth, year-over-year, shipping over 40,000 consignments in 2016.
\nIAG is also hoping to capitalize on the digital disruption trend in air cargo. The carrier is responding with \u201ca number of new innovations to help drive forward the digitization of cargo and improve our customers shipping experience,\u201d but did not elaborate.
\nThose interested in learning more about airfreight in 2017, should join us at Cargo Facts Asia in Shanghai, 25 \u2013 26 April. \u00a0To register, or for more information, go to\u00a0CargoFactsAsia.com
\nSource: aircargoworld<\/p>\n","protected":false},"excerpt":{"rendered":"
IAG Cargo\u2019s 2016 full-year results out today show commercial revenue down 6.6 percent to \u20ac1.022 billion. \u201cThese are resilient results in the face of challenging market conditions,\u201d said Drew Crawley, CEO at IAG Cargo. \u201cGrowing supply from freighter and new-generation passenger fleets have continued to outstrip flat demand for general freight.\u201d IAG Cargo phased out[…]<\/a><\/p>\n","protected":false},"author":1,"featured_media":2242,"comment_status":"false","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[8],"tags":[49],"class_list":["post-2241","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news","tag-airport-code"],"_links":{"self":[{"href":"https:\/\/www.actlogistics.vn\/kr\/wp-json\/wp\/v2\/posts\/2241","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.actlogistics.vn\/kr\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.actlogistics.vn\/kr\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.actlogistics.vn\/kr\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.actlogistics.vn\/kr\/wp-json\/wp\/v2\/comments?post=2241"}],"version-history":[{"count":0,"href":"https:\/\/www.actlogistics.vn\/kr\/wp-json\/wp\/v2\/posts\/2241\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.actlogistics.vn\/kr\/wp-json\/wp\/v2\/media\/2242"}],"wp:attachment":[{"href":"https:\/\/www.actlogistics.vn\/kr\/wp-json\/wp\/v2\/media?parent=2241"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.actlogistics.vn\/kr\/wp-json\/wp\/v2\/categories?post=2241"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.actlogistics.vn\/kr\/wp-json\/wp\/v2\/tags?post=2241"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}