IAG Cargo’s second quarter revenues and cargo traffic fell year on year due to reduced capacity as a result of the Middle East conflict, although the business boosted yields through a focus on premium cargo.
Cargo revenue was £295m in the second quarter ending 30 June. This was down 5.1% from £311m in the second quarter of 2025.
IAG Cargo’s cargo traffic was also down 16.9% on the second quarter of 2025 to 1.1bn cargo tonne kms (CTKs).
Though revenues and volumes were down, cargo yields, measured as cargo revenue per cargo tonne kilometre (RTKs), were up 14.2%.
In its first half results release, IAG said: “Cargo capacity was impacted from March onwards by cancellations to destinations in the Middle East. The impact of lower revenues was mainly offset through operating cost savings and fuel-related price increases.”
“The cargo business continued to prioritise premium and higher-yielding flows, particularly across Asia Pacific and India, supported by strong demand for specialist products.”
IAG Cargo said it has also advanced the planned launch of its joint global cargo business with Qatar Airways Cargo and MASkargo, with operations commencing across 59 markets while continuing to invest in its network and customer offering.
The joint business aims to bring together the combined expertise and infrastructure of the airlines and is expected to enable a streamlined product offering, enhanced connectivity, faster transit times, and new routing opportunities across the airlines’ combined networks.
Once fully launched, the joint business is expected to provide customers with access to more than 400 destinations worldwide.
IAG Cargo saw both revenues and cargo traffic decline in the first quarter of the year as the Middle East conflict, a weaker dollar and a strong comparison period last year affected comparisons.
