Airlines

Increased airline tickets support carriers' financial results

Prices rose to triple digits for some Italian destinations. Traffic from Europe to Italy has remained strong since January

by Mara Monti

3' min read

Translated by AI
Versione italiana

3' min read

Translated by AI
Versione italiana

Rising ticket prices have saved airlines' accounts, but not for all countries and not for all routes. The carriers' third quarter figures show a healthy industry, with demand for travel still strong despite geopolitical uncertainties and an economic slowdown, to the point where there are not enough planes available to cover demand. Unlike last year, when airlines oversupplied, causing ticket prices to plummet, carriers were more cautious this year: fewer planes and less supply drove up flight prices, particularly in the central summer months of July and August.

The Irish low-cost company Ryanair, a benchmark for the European aviation sector, saw its prices drop by an average of 15% in 2024, while this year's increases are estimated at around 8%, according to CEO Michael O'Leary recently reported.

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Legacy companies suffer from US decline

For their part, Europe's legacy carriers have another problem: they have been experiencing a drop in passenger demand in the US market for months, partly because travellers are discouraged by stricter immigration procedures and partly because companies are scaling back business between the two regions. Companies such as British Airways, Iberia, Air France-KLM and Lufthansa have warned of this, a scenario that has worsened in recent weeks with the shutdown that is causing hundreds of flights to and from the US to be cancelled.

Traffic and fares incurred in Italy

Italy remains a favoured tourist destination and no airline is abandoning its positions, indeed there are those who are strengthening themselves such as easyJet with flights to Linate, Ryanair which favours Italy over other markets when it is satisfied with the reduction in airport tariffs, Wizz Air with new destinations and Lufthansa through the integration with ITA Airways strengthens the Fiumicino hub for southern European routes.

Interest in Italy remains high: according to Assaeroporti data, almost 180 million passengers travelled through Italian airports between January and September this year, 4.7% more than in the same period of 2024. The domestic segment, with 56 million travellers, remains stable while international traffic is driving growth, with 121 million passengers, up 7.1% on last year. Of the latter, around two thirds, or 80 million travellers, fly to and from EU destinations, while one third fly to and from non-EU destinations.

The market rewards airlines that focus on Italy with high air fares: according to calculations by Cirium, the aviation analysis company, on average, the cost of air tickets from Europe to Italy increased by 39 per cent in July and 32 per cent in August, while domestic fares rose by 23 per cent.

Double-digit increases for tickets from Europe to Italy

European airline tickets to destinations experienced double-digit increases between July and August with large differences between months. Such as in the case of Ireland, where in July airline ticket prices to Italy increased by an average of 67 per cent compared to 2024, but in August increases reached peaks of 96 per cent. In the case of Germany both in July and August the increases were 48%, In France instead to fly to Italy the ticket was 46% more expensive in July and 33% more expensive in August, for Spaniards the increases ranged from 41% in July to 39% in August. The increases for flights from the United Kingdom were smaller at around 19%, while for Greece and Portugal they did not exceed 20%. On the other hand, fares from the United States remained stable, confirming the weakness of demand for transatlantic connections.

Air fares for domestic flights go up

From international to domestic connections, the increases concerned all flights from North to South with three-figure peaks as in the case of flights from Cagliari to the main Italian destinations in the summer months. The same applies to connections from Catania to Milan Linate (+102%) and from Bari to Rome Fiumicino (+100%). Between 90% and 50% are the connections from Brindisi, Palermo, Olbia and Venice, while between 50% and 10% are Naples and Bologna. With the Christmas holidays approaching, people are starting to organise flights to return to their families: according to industry sources, ticket increases for this season should not exceed percentages between 1% and 2% provided that they do not book under dates.

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