Airline cargo revenues improve in Q2 along with market

According to earnings results released, cargo business at publicly traded passenger and combination airlines improved in the second quarter compared to the previous three months as the recovery from a prolonged freight downturn fully took hold this year.

In the second quarter, Lufthansa Cargo’s operating profit fell 3% due to higher expenses and lower yields despite an increase in core transportation revenue. The peak shipping season is expected to bring strong growth for the rest of the year. Importantly, financial and operating performance improved compared to the first quarter.

United Airlines’ second-quarter cargo revenue increased by 14.4% to $414 million. In April, United Cargo opened a new, larger cargo facility near Newark International Airport, doubling the airline’s cargo space at the hub to 319,000 square feet. Newark accounts for almost 30% of United’s global tonnage and cargo revenue. Delta Air Lines reported a 16% year-over-year increase in second-quarter cargo revenue, reaching $199 million. Meanwhile, American Airlines experienced a 1.3% decline in cargo revenue, which dropped to $195 million.

Source: Freight Waves

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