IAG reports 21% profit drop amid fuel cost surge, maintains dividend policy

IAG profit decline fuel costs dividend policy net zero

International Airlines Group (IAG) posted first‑half 2026 results showing a 21 % decline in net profit to €1.033 billion, while revenue rose 1 % to €16.064 billion. Operating profit before exceptional items fell 14.4 % to €1.608 billion, reflecting higher fuel costs linked to the Middle‑East conflict and €149 million of restructuring charges. The group attributed the earnings pressure to the same conflict and to currency effects, but said disciplined cost control and strong demand helped mitigate the impact.

IAG reaffirmed its commitment to achieve net‑zero emissions by 2050 and called for fair climate regulation. Despite the headwinds, the airline group kept its dividend policy stable, having paid €441 million in dividends for 2025 and indicating no change to the policy. IAG also confirmed it will not participate in the current bidding process for easyJet. Passenger traffic remained steady at about 57.9 million seats, with capacity and load‑factor largely unchanged.

The results underscore the sensitivity of airline earnings to fuel price volatility while highlighting IAG’s diversified brand portfolio and ongoing transformation programme.

Entities: A320 Family · A350 · Airbus SE · Bombardier Inc. · British Airways · EasyJet · Global 8000 · Iberia · International Airlines Group · International Airlines Group (IAG) · Luis Gallego

Claims

What the coverage asserts, and how well corroborated each claim is across sources.

[● 6 SOURCES] IAG net profit for the first half of 2026 was €1.033 billion, down 21 % year‑on‑year. (b008f464-1de2-4da0-9c51-939c836393e4,684a233b-efbc-4abf-b532-d32132c1f2ad,279d30ce-5179-44ca-8344-4961228382b0,87166fe3-)
[● 6 SOURCES] IAG revenue for the first half of 2026 was €16.064 billion, up 1 % year‑on‑year. (b008f464-1de2-4da0-9c51-939c836393e4,684a233b-efbc-4abf-b532-d32132c1f2ad,279d30ce-5179-44ca-8344-4961228382b0,87166fe3-)
[● 2 SOURCES] Iberia’s operating profit fell 6.7 % to €526 million in the first half of 2026. (f28ba37d-607f-4e0f-bc35-45bf40062af4,279d30ce-5179-44ca-8344-4961228382b0)
[● 7 SOURCES] IAG attributed the profit decline to higher fuel costs from the Middle‑East conflict and €149 million of restructuring charges. (b008f464-1de2-4da0-9c51-939c836393e4,684a233b-efbc-4abf-b532-d32132c1f2ad,2f1ac8bc-6a11-4476-89be-6e51648a4514,8f27ec30-)
[○ 1 SOURCE] IAG reaffirmed its commitment to achieve net‑zero emissions by 2050 and called for fair climate regulations. (1af76683-e857-4a75-8f9d-d4c7f72c76d4)
[● 6 SOURCES] IAG operating profit fell 14.4 % to €1.608 billion in the first half of 2026. (b008f464-1de2-4da0-9c51-939c836393e4,684a233b-efbc-4abf-b532-d32132c1f2ad,279d30ce-5179-44ca-8344-4961228382b0,87166fe3-)
[● 3 SOURCES] IAG will keep its dividend policy stable and paid €441 million in dividends in 2025. (684a233b-efbc-4abf-b532-d32132c1f2ad,87166fe3-abfd-4a5e-b033-52a506620ccb,279d30ce-5179-44ca-8344-4961228382b0)
[○ 1 SOURCE] IAG is not participating in the bidding process for easyJet. (684a233b-efbc-4abf-b532-d32132c1f2ad)