Shares in British Airways owner International Consolidated Airlines Group SA (LSE:IAG) (IAG) shot higher as it reported that third-quarter trading has been better than expected.
“As a result, we now expect pre-exceptional operating profit for the third quarter to be in the region of €1.2bn," the airlines owner said in a brief statement.
IAG noted that strong passenger revenues were behind the good trading stating that forward bookings were also healthy with no sign of weakness.
“Accordingly our fourth quarter expectations remain unchanged as of today," it said.
IAG said it will release consolidated results for the nine months to 30 September 2022 on 28 October.
Sophie Lund-Yates, at Hargreaves Lansdown, commented: “Despite the rampant cost-of-living pressures facing consumers, the British Airways ticket desk has been keeping very busy it seems.
"IAG has been one of the hardest hit carriers since the pandemic, with long-haul and business trips taking a lot longer to take off back towards pre-covid levels than its short-haul counterparts.
“Ultimately, this upgrade from expectations is a very welcome surprise, but whether the spritely mood music can be maintained is another question entirely.”
IAG shares jumped 7.2% to 108p in afternoon trading.