# British Airways Profit Drops on Fuel Costs

> IAG's third-quarter profit falls 12% as jet fuel prices surge.
- Title: British Airways Profit Drops on Fuel Costs | Shortify
- Summary: IAG's third-quarter profit falls 12% as jet fuel prices surge. IAG's net profit dropped 12% to 1.23 billion euros in Q3 2026 due to higher fuel costs and…
- Keywords: iag, british airways, iberia, jet fuel prices, middle east conflict, flight disruptions, net profit, third quarter 2026, The Economic Times
- Source: The Economic Times — https://economictimes.indiatimes.com/markets/us-stocks/news/british-airways-parent-profit-drops-on-higher-fuel-costs/articleshow/135605804.cms
- Author: AFP
- Published: 2026-11-06T11:30:00+00:00
- Read time: 1 min
- Topics: iag, british airways, iberia, jet fuel prices, middle east conflict, flight disruptions, net profit, third quarter 2026, money, business
## IAG Profit Drop
IAG reported a 12 percent net profit decline in Q3 2026 to 1.23 billion euros.

> Strong pricing was offset by lower capacity, the impact of one-off disruption events and in particular by higher jet fuel prices
## Fuel Costs Surge
Jet fuel prices rose over 30 percent in Q3 2026, with 2026 fuel costs expected near nine billion euros.

> The fuel bill for 2026... (is) going to be close to nine billion euros
## Middle East Disruptions
Flight cancellations and air traffic control issues linked to Middle East conflict disrupted operations.

> We hope that the situation ends soon, but we cannot do anything else than to follow the strict procedures that we have
## IAG Revenue Growth
IAG revenue rose 4.5 percent to 9.74 billion euros despite higher costs.
## CEO Response
Luis Gallego called Q3 resilient despite high fuel prices and disruptions.

> The company had delivered a resilient quarter... despite the very high price of jet fuel and a number of one-off disruption events
## Future Outlook
IAG expects price volatility with competition and demand driving next year's fares.

> Prices are going to be determined by competition capacity and demand, and we are following that very carefully
## Key takeaway

IAG's net profit dropped 12% to 1.23 billion euros in Q3 2026 due to higher fuel costs and Middle East conflict disruptions.