Carlos Eugui

𝗠𝗮𝗽𝗽𝗶𝗻𝗴 𝗽𝗿𝗼𝗳𝗶𝘁: 𝗪𝗵𝗮𝘁 𝟮𝟬𝟮𝟰 𝗖𝗔𝗦𝗞–𝗥𝗔𝗦𝗞 𝗿𝗲𝘃𝗲𝗮𝗹𝘀 ✈️ 𝗘𝘂𝗿𝗼𝗽𝗲 👉 LCC cluster: all low CASK. Ryanair - Europe's Favourite Airline generates the highest margins; easyJet is solid; Wizz Air keeps ultra-low costs but shows a smaller margin bubble, signalling weaker revenue capture/execution versus peers. 👉 Iberia and British Airways are the bright spots (International Airlines Group (IAG)). Both plot at higher RASK than most European legacies; Iberia edges BA on margin, while British Airways benefits from premium long-haul mix and Heathrow scarcity, though its CASK remains elevated. Continental legacies remain high-CASK/mid-RASK with modest (Air France-KLM) or negative margins (Lufthansa airline). ✈️ 𝗡𝗼𝗿𝘁𝗵 𝗔𝗺𝗲𝗿𝗶𝗰𝗮 👉 Big 3 American Airlines, Delta Air Lines, United Airlines: high RASK and CASK but mid-sized margins. Oligopolistic pricing power is offset by heavy and increasing cost bases. 👉 LCC/Hybrid (Southwest Airlines, Alaska Airlines, JetBlue) and ULCCs (Frontier Airlines, Spirit Airlines): lower CASK than the majors, yet smaller margins than Europe’s best LCCs. Tougher competitive and ancillary dynamics show up as smaller bubbles. ✈️ 𝗠𝗶𝗱𝗱𝗹𝗲 𝗘𝗮𝘀𝘁 Emirates and Qatar Airways: high RASK with healthy margins despite the relatively high CASK, thanks to the combo of premium long-haul + transfer hub + cargo. Etihad trails slightly on margin. ✈️ 𝗔𝘀𝗶𝗮-𝗣𝗮𝗰𝗶𝗳𝗶𝗰 (𝗲𝘅-𝗖𝗵𝗶𝗻𝗮 & 𝗜𝗻𝗱𝗶𝗮) 👉 Premium champions (Singapore Airlines and Qantas): high RASK and large bubbles due to brand strength, premium cabins and long-haul/cargo mix. 👉 LCCs (AirAsia Group, Scoot): very low CASK, but much smaller margins than Europe’s LCC leaders, reflecting more price-sensitive demand. ✈️ 𝗜𝗻𝗱𝗶𝗮 LCC IndiGo (InterGlobe Aviation Ltd): LCC archetype with low CASK, mid-RASK and a respectable margin, underscoring disciplined cost control in a fast-growing market. ✈️ 𝗖𝗵𝗶𝗻𝗮 Air China, China Eastern, China Southern Airlines: mid-pack CASK and RASK with thin margins. Structural yield pressure and intense domestic competition keep profitability muted even with cargo in scope. ✈️ 𝗔𝗳𝗿𝗶𝗰𝗮 𝗮𝗻𝗱 𝗟𝗮𝘁𝗶𝗻 𝗔𝗺𝗲𝗿𝗶𝗰𝗮 Ethiopian Airlines and Avianca Group: two continental standouts with low CASK, decent RASK, large bubble, combining efficient hub economics with cargo strength. 𝗞𝗲𝘆 𝘁𝗮𝗸𝗲 𝗮𝘄𝗮𝘆𝘀 1️⃣ Two winning recipes dominate: either ultra-low cost + tight yield/ancillary discipline or premium hub + brand strength + cargo. Most other models cluster in the mid-margin middle. 2️⃣ Cost leadership is necessary, but not sufficient. 3️⃣ Hybrid/subsidiary models under-deliver on margins; scale without clear differentiation is insufficient. 4️⃣ The US and China’s Big 3's show that revenue scale doesn’t guarantee margin when CASK rises in steps or yields are structurally pressured. Data collection, thank you, Xinyu Tan! University of Antwerp - Faculty of Business and Economics

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✈️ Avelo Airlines Secures Largest Investment Since Initial Funding   Avelo Airlines, America’s ultra-convenient low-fare airline, today announced it has closed on a new round of significant growth capital to support its continued expansion across the United States and the Caribbean.   This financing round represents the single largest investment in Avelo Airlines since the company’s initial Series A funding. This investment from a new partner underscores strong confidence in Avelo’s differentiated business model and track record since the airline’s launch in 2021. The proceeds will be used to fund growth in its scheduled service operation, make targeted technology investments, and enhance the overall Customer experience.   Avelo Airlines Founder and CEO Andrew Levy said, “Today marks another important milestone for Avelo. This new capital strengthens our liquidity position and positions us to continue delivering reliable, affordable travel options to millions of Customers who are underserved by other carriers. This investment comes at a pivotal time in the domestic airline industry and will allow Avelo to double down on an addressable market that is too often being priced out by higher fare airlines.”   Avelo recently closed the books on July, representing the company’s fourth fully allocated profit over the last five months, following approximately breakeven operating income in 2024 with no special items and no sale leaseback proceeds. Avelo’s core margins and cash position continue to improve organically, driven by revenue diversification initiatives and market maturation in our scheduled service operation. Later this year Avelo expects to launch a unique loyalty program, a co-branded credit card, and other third-party ancillary revenue initiatives that have proven value to airline profitability.      💜 We’re excited to welcome more Customers on board and continue delivering smooth, seamless travel experiences across our growing network.

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On Spain’s National Day, we celebrate the vital role #aviation plays in connecting people, businesses, and cultures. According to IATA’s Value of Aviation report about Spain: ✈️ USD 172.9 billion contribution to GDP (10.9%) ✈️ 2 million jobs supported, including 304,800 directly in #aviation ✈️ 91.6 million international passengers and 1.1 million tonnes of #aircargo ✈️ Spain is the 3rd largest market globally by passenger departures ✈️ +50.9% cumulative growth in the last decade Aviation is a cornerstone of Spain’s economy and a driver of tourism, trade, and prosperity. Learn more about the #ValueOfAviation report on Spain👇 https://bit.ly/3IZTQ2t #NationalDayofSpain #12deOctubre #Spain

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It's been a pleasure meeting Raúl Medina Caballero, Director General of EUROCONTROL today on the present and future of regional aviation We had insightful discussions on the crucial role European Regions Airline Association member airlines play in Europe’s connectivity within the EUROCONTROL network. We focused on several key areas: ➡️ Efficient, fair airspace reform: We need a framework that really boosts airspace efficiency, supports the EU Green Deal and #Destination2050, and delivers the performance that SES2+ failed to achieve. ➡️ Addressing the structural issues of airspace design and infrastructure that impact performance: We need to invest in both staffing and smart technological solutions. These investments have to deliver real value . Regional airlines cannot be left paying for enablers that don’t improve performance. ➡️ Decarbonising the sector: RefuelEU needs to work for all airlines, including those operating into regional airports. Its implementation is proving tough with unaffordable prices, limited SAF access and infrastructure gaps. We will work to maximise the use of the Flying Green platform and its tools and to obtain more evidence of these circumstances with the support of EUROCONTROL. Looking forward to continuing working hand in hand with EUROCONTROL to raise the bar for airspace efficiency, performance, and regional connectivity across Europe

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- Ryanair - Europe's Favourite Airline has partnered with Booking Holdings (NASDAQ: BKNG) to distribute its fares on Booking.com, Priceline, and KAYAK. - This agreement follows similar deals Ryanair struck with other OTAs after years of disputes over unauthorized flight sales. - The partnership will allow customers to access Ryanair accounts and receive updates directly when booking through Booking Holdings' platforms. https://hubs.li/Q03FC-R60

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