Download full report with analyst certification and important disclosures
Nov 6 2026, 07:57 GMT
IAG
Resilient quarter but operating at the low end of margin targets
DAVY VIEW
IAG delivered a resilient quarter; however, operating profits at €1,726m (Davy: €1,863m, consensus: €1,810m) are below a moveable consensus number, with non-fuel unit costs impacted by disruption in the quarter. We think it is likely that full year operating margins will be at the low end of the 12-15% range, resulting in some small downgrades today in the mid-single-digit percentage range. The balance sheet remains very strong with 0.6x net leverage. That, and strong cashflows, enable the ongoing buyback.
