Middle East airlines to make $28.60 profit per passenger in 2026, the highest worldwide

Apple will earn more selling an iPhone cover than the $7.90 global average profit per passenger, Iata says

Passenger jets on the tarmac at Al Maktoum International Airport during the Dubai Airshow. EPA

Airlines in the Middle East stand to earn $28.60 in profit per passenger next year, the highest for all regions, as they benefit from strong passenger demand, supportive regulations and public investment in infrastructure.

That is more than triple the average net profit per passenger for global airlines of $7.90 in 2026 and 2025, according to the International Air Transport Association's latest annual report, issued on Tuesday. It is slightly below the $28.90 figure for regional carriers this year.

Middle East airlines will end 2025 with an estimated $6.6 billion in net profit, up from a June forecast of $6.2 billion and an increase from $6 billion in 2024. It is also the strongest region in terms of net profit margin, at 9.3 per cent.

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“This performance attests to the difference a positive regulatory operating environment can make, and to the region’s strategic position as a global connecting hub,” Iata said in a statement on Tuesday.

The region continues to record “robust” passenger demand, driven by long-haul traffic and the expansion of hub carriers such as Emirates, Etihad Airways and Qatar Airways.

Governments and airlines are also doubling down on infrastructure investment to secure long-term growth, Iata said. Dubai is building a $35 billion terminal at Al Maktoum International Airport (DWC), while Saudi Arabia is planning the King Salman International Airport in Riyadh.

While geopolitical tensions, including conflicts and airspace closures, have disrupted operations throughout 2025, they are not expected to negatively impact growth, Iata said.

“With ongoing efforts to achieve lasting peace, the region is expected to stay on its growth trajectory,” the airline lobby group said.

There is a fragile ceasefire in the Israel-Gaza war after more than two years of conflict, but Israel has continued attacks in Gaza and Lebanon.

Middle Eastern airlines are mitigating supply chain disruptions and aircraft delivery delays through retrofitting and fleet life extensions, Iata said. However, capacity growth will remain constrained in the near term, it warned.

Regional airlines are forecast to earn $6.8 billion in net profit in 2026, as demand grows faster than capacity.

Passenger traffic will grow 6.1 per cent next year, compared to capacity growth of 5.4 per cent in the Middle East.

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Global outlook

Global airlines are set for a record profitability in 2026, despite the persistent supply chain crunch that is delaying delivery of aircraft and replacement of old fleets with more fuel-efficient jets.

Globally, airlines will end the year with a net profit of $41 billion in 2026, up from $39.5 billion in 2025. Total revenue is expected to reach $1.053 trillion in 2026, up 4.5 per cent on the $1.008 trillion revenue in 2025.

Airlines will carry 5.2 billion passengers in 2026, up 4.4 per cent on 2025, and planes will be 83.8 per cent full next year.

“That’s extremely welcome news considering the headwinds that the industry faces – rising costs from bottlenecks in the aerospace supply chain, geopolitical conflict, sluggish global trade, and growing regulatory burdens among them,” Willie Walsh, Iata's director general, said.

“Airlines have successfully built shock-absorbing resilience into their businesses that is delivering stable profitability.”

However, industry-level margins are “still a pittance considering the value that airlines create by connecting people and economies”, he said.

Apple will earn more selling an iPhone cover than the $7.90 airlines will make transporting the average passenger

Willie Walsh,
director general of Iata

Airlines are at the core of a value chain that underpins nearly 4 per cent of the global economy and supports 87 million jobs.

“Yet Apple will earn more selling an iPhone cover than the $7.90 airlines will make transporting the average passenger,” Mr Walsh said, referring to the global figure.