From Yahoo Finance: 2025-06-02 11:08:00

The International Air Transport Association has trimmed its net profit estimate for the airline industry in 2025, citing declining consumer confidence and trade tensions. Despite this, the agency still expects record air travelers and total revenue this year. Major U.S. carriers, including Southwest, American, and Delta, withdrew their full-year outlooks in April due to economic uncertainty.

The global airline industry is expected to generate $36 billion in profit in 2025, down from the previous forecast of $36.6 billion. The International Air Transport Association revised the figure due to trade tensions and declining consumer confidence. The agency anticipates a record 4.99 billion air travelers and all-time high revenue of $979 billion this year.

Shares of major U.S. carriers like American, Delta, and United have declined significantly in 2025. Southwest Airlines, however, saw positive movement after introducing revenue-driving changes like ending its “two bags fly free” policy. United Airlines offered varying earnings forecasts based on potential economic recession, reflecting ongoing uncertainty in the industry.



Read more at Yahoo Finance: Airline Industry Group Cuts Profit Forecast Amid Economic Uncertainty