IATA Slashes 2026 Airline Profits to $23B on $152 Jet Fuel

Airline stocks fell in premarket trading after IATA cut its 2026 global net-profit forecast to $23 billion from $41 billion, citing jet-fuel prices averaging $152 per barrel, up nearly 70%. The downgrade follows a week of escalating warnings that began with DHL securing summer supplies on June 2 and peaked at the Rio IATA summit where carriers confronted $140-plus fuel and 6% capacity cuts. Moody’s earlier warned of a 35% profit drop while EU officials ruled out shortages, confirming price—not availability—is the core pressure. North American carriers are now seen contributing $9.4 billion, down from $12.4 billion last year.