International Consolidated Airlines Group S.A. (IAG) Q3 2025 Earnings Call

Investor webinar replay

Replay transcript excerpt

Good morning, ladies and gentlemen, and welcome to the International Airlines Group Recorded 2025 Results Call. At this time, all participants are in listen-only mode. Later, we will conduct a question-and-answer session. Through the phone lines and instructions, we'll follow at that time. I would like to remind all participants that this call is being recorded. I will now hand over to Luis Gallego, Chief Executive Officer, to open the presentation. Please go ahead. Thank you very much. Good morning, everyone, and welcome to the IAG third quarter results. Today I have with me Nicolas Casbury, our CFO, as well as members of the IAG Management Committee. This has been another good quarter for IAG, and we are on track for another very good year. Our strong fundamentals underpin our best-in-class value creation over the long term. We are continuing to see robust demand for travel across the group. Our leading network and brands have helped to deliver a strong revenue performance in the quarter with PRAX broadly flat at constant currency against a record quarter last year. Our transformation initiatives are delivering effective cost control, supporting our competitive flow base on which we are delivering market leading margins at 22% for the quarter and over 15% on a last 12 months basis. As Nicolas will show you, every single one of our airlines has reported a margin over 20% this quarter. This was also one of the best summers operationally that we have ever had, which is also supporting positive NPS performance. Our balance sheet continues to be strong, giving us optionality around our capital allocation. whether that is investing in the business at high rates of return or reducing our gross leverage as we take and encumber aircraft deliveries or as we increase our divi...