The global economy may be facing an uncertain 2025 in light of trade tensions and geopolitical conflicts, but there’s a bright spot that investors can take solace in: aviation.
The profitability of the aviation industry is expected to improve in 2025, despite global gross domestic product growth being forecast to drop to 2.5% in 2025 from 3.3% in 2024, according to the International Air Transport Association.
In a report released on Monday, the IATA said revenue, operating profits and net profits of the industry are expected to increase from 2024, although some of those were lower than projections made in December.
For example, net profits for the industry are projected at $36 billion for 2025, up from the $32.4 billion earned in 2024, but slightly lower than the December projection of $36.6 billion.
The aviation industry’s net profit margin is also forecast to rise to 3.7% in 2025, from 3.4% the previous year.
