International Airlines Group (IAG), the parent company of British Airways, has announced that the ongoing Middle East conflict is expected to reduce its annual profits, despite a strong first quarter in 2026.

• IAG anticipates lower profits than initially forecast due to increased jet fuel costs resulting from soaring oil prices since the US-Iran war began in late February.
• IAG, also owner of Iberia, Aer Lingus, and Vueling, reported a 71 percent surge in net profit to €301 million ($354 million) in the first quarter.
• Despite a strong start underpinned by high passenger demand, Chief Executive Luis Gallego acknowledged the need to manage the uncertainty created by rising fuel prices.