The Anglo-Iberian airline group forecast slower capacity growth and weaker earnings potential for the three years to 2022, which it revealed in a statement ahead of an investor and analyst presentation day on Friday.
IAG management now see available seat kilometres (ASK) capacity growth of 3.4% per year, down from around 6% for 2019-2023 as had been previously guided.
Capacity growth in 2020 is currently planned to be 3.2%, though his was not adjusted for the British Airways strikes this year and the coming leap year. In September, IAG guided to full-year capacity growth of about 4%, down from 5%, with ASK growth of 2% for the fourth quarter, 1.2 points below previous guidance.
Average earnings per share growth is now seen at 10%+ per year against the prior guidance for 12% growth due to the softer capacity growth.
Levered free cash flow is expected to average of €2.1bn per year.
Shares in IAG, up strongly since summer's two-and-a-half-year lows, fell 0.7% to 540.80p in afternoon trade on Friday.