Sector developments
Continued significant growth in global passenger traffic
The global air transport industry saw significant increases in passenger traffic in 2024 and a resulting increase in sales once again. Greater demand for flights, especially to holiday destinations, prompted a further expansion of capacity in global passenger traffic.
Total sales worldwide (revenue passenger-kilometres) in the reporting year increased by 10% on the previous year according to figures published by the International Air Transport Association (IATA) (previous year: 37%). Airlines from the Asia/Pacific region registered the strongest growth of 17% (previous year: 96%), followed by airlines from Africa with 13% (previous year: 36%). In the same period, airlines from Europe posted a 9% increase (previous year: 20%).
Global revenue passenger-kilometres returned to its pre-crisis level in 2019 for the first time in the 2024 financial year, exceeding the figure from financial year 2019 by 4%. European airlines also reported an increase of 4% from the pre-crisis level.
Yields in global passenger traffic were down 5.6% in the 2024 financial year according to IATA (previous year: increase of 8.0%). In the 2024 financial year, yields thus exceeded the pre-crisis level by 6.6%.
| T016 | SALES PERFORMANCE IN THE AIRLINE INDUSTRY | |
|---|---|---|
| in % compared with previous year | Passenger-kilometres | Cargo tonne-kilometres |
| Europe | 9 | 11 |
| North America | 5 | 7 |
| Central and South America | 8 | 13 |
| Asia/Pacific | 17 | 14 |
| Middle East | 9 | 13 |
| Africa | 13 | 9 |
| Global | 10 | 11 |
| Source: IATA Air Passenger/Air Freight Market Analysis (12/2024). | ||
Global airfreight traffic reports positive growth rates again
The global market for airfreight grew significantly 2024 financial year. Strong growth was supported by flourishing online trade and capacity bottlenecks in global shipping. According to IATA, global airfreight volumes (measured in revenue cargo tonne-kilometres) were up 11% year-on-year in 2024 (previous year: decline of 2%). The global cargo business was therefore 8% up on its pre-crisis level. European providers saw an increase of 11% (previous year: decline of 3%).
Yields in global airfreight traffic decreased by 3.7% year-on-year according to estimates by IATA (previous year: decrease of 31.8%), due to greater belly capacities for freight in passenger aircraft and the weak global macroeconomic performance. Yields still exceeded the pre-crisis level by 36.9%, however.
Global airline industry expects profits to decline
The global airline industry expects a year-on-year drop in profits in 2024. IATA predicts that the industry will realise a net profit of USD 32bn for the 2024 financial year (previous year: USD 35bn). Prior to the coronavirus crisis, the airline industry generated net profit of USD 26bn in the 2019 financial year.
On a regional basis, the highest profits are expected in North America at USD 12bn (previous year: USD 14bn). European airlines are forecast to generate net profits of USD 10bn (previous year: USD 11bn).
| T017 | EARNINGS DEVELOPMENT IN THE AIRLINE INDUSTRY | |
|---|---|---|
| in USD bn | 20241) | 2023 |
| Europe | 10 | 11 |
| North America | 12 | 14 |
| Central and South America | 1 | 1 |
| Asia/Pacific | 3 | 3 |
| Middle East | 5 | 6 |
| Africa | 0 | 0 |
| Industry | 32 | 35 |
| 1) Forecast. Source: IATA Industry Statistics (12/2024). | ||
Continued significant growth in MRO market
The aircraft maintenance, repair and overhaul (MRO) business once again performed well in 2024. The strong level of demand for flights prompted a further rise in demand for MRO services. The advisory company ICF predicted that the market for MRO services (excluding embargo countries) will grow by 6% year-on-year in 2024 to USD 124bn (previous year: USD 117bn).
MRO demand of USD 41bn is attributable to the EMEA region (Europe, Middle East and Africa) (previous year: EUR 39bn), USD 35bn to the Americas region (previous year: EUR 36bn) and USD 47bn to the APAC region (Asia/Pacific) (previous year: USD 42bn). APAC is therefore established as the region of the world that will largely drive future market growth.