IATA: Record 5 Billion Travelers Expected to Fly in 2024

Net airline profits are set to reach 30.5 billion dollars in 2024 as the number of travelers choosing to fly reaches 5 billion, said the International Air Transport Association (IATA) this week revising upward its June and December 2023 forecasts.

More specifically, according to IATA:

– profitability is seen as strengthening in 2024 with revenues growing slightly faster than expenses,
– return on invested capital in 2024 is forecast at 5.7 percent,
– operating profits set to reach 59.9 billion dollars up from an estimated 52.2 billion dollars in 2023,
– total revenues are seen as reaching a record high of 996 billion dollars,
– total air cargo volumes are aiming for 62 million tons,
– and total travelers set to reach 4.96 billion in 2024, breaking one more record.

Passenger revenues are expected to reach 744 billion dollars in 2024, up by 15.2 percent from 646 billion dollars in 2023.

“In a world of many and growing uncertainties, airlines continue to shore-up their profitability. The expected aggregate net profit of 30.5 billion dollars in 2024 is a great achievement considering the recent deep pandemic losses, said IATA Director General Willie Walsh.

He went on to add that a record 5 billion air travelers were expected in 2024.

Photo source: IATA

“Strengthening airline profitability and growing financial resilience is important. Profitability enables investments in products to meet the needs of our customers and in the sustainability solutions we will need to achieve net zero carbon emissions by 2050,” he said.

According to IATA, fuel is expected to average 113.8 dollars per barrel in 2024 with spending, accounting for 31 percent of all airline operating costs, set to reach 291 billion dollars.

Labor costs are set to grow by 7.6 percent to 214 billion dollars in 2024 while total employment in airlines is forecast at 3.07 million up from 2.93 million in 2019.