$27.9bn
$XX.Xm
53,396
58
$X.Xbn
The pandemic decimated the International Airlines industry, but the industry is now on the rebound. Notwithstanding airfreight transport, the industry's services were essentially non-existent while international borders were shut. For an extended period, international air travel was limited to flights for repatriation and migration purposes. The industry's airfreight services segment has offered some reprieve to international airlines over the period, supported by soaring airfreight prices. The industry has begun its ascent since many international borders reopened in early 2020, which is why industry revenue is set to climb by 71.8% in 2022-23. Overall, industry revenue has declined at an annualised 2.5% over the past five years to reach $27.9 billion.Like revenue, the pandemic also caused a sharp decline in average profit margins, with international airlines making significant losses while heavy restrictions on international air travel were in place. International airlines incur high fixed costs, which surged as a share of revenue amid dismal demand conditions. Airlines have begun to turn their profitability woes around by raising airfares and carefully expanding capacity. While this strategy is slowing down the recovery in international passenger numbers and revenue, international airlines' primary focus is to restore profit margins to positive territory. Nonetheless, subdued demand conditions and high aviation fuel prices continue to squeeze profit margins despite drastically improving operating conditions since borders reopened.Revenue for the International Airlines industry is set to rise at an annualised 4.4% over the next five years to reach $34.5 billion. International travel has strong underlying demand and has traditionally recovered quickly after periods of shock-driven decline. Nonetheless, lingering disruptions caused by the pandemic will prolong the industry's recovery. For instance, ongoing COVID-19 restrictions and potential new outbreaks in China will slow the recovery in inbound arrivals from international travellers, as China is a key tourism market for Australia. As demand conditions and airline capacity gradually normalise, industry profitability will trend upward to pre-pandemic benchmarks. However, high fuel prices, particularly early in the period, are set to exert strong downward pressure on profit margins.
Industry revenue has declined at a CAGR of 2.5 % over the past five years, to reach an estimated $27.9bn in 2023.
Market size is projected to grow over the next five years.
Company | Market Share (%)
2023 | Revenue ($m)
2023 |
---|---|---|
Qantas | 8,701.4 | |
Singapore Airlines | 3,880.8 | |
Emirates | 1,942.0 |
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Industry revenue is measured across several distinct product and services lines, including Full-fare passenger transport, Low-fare passenger transport and Air freight transport. Full-fare passenger transport is the largest segment of the International Airlines in Australia.
Full-fare passenger transport is recovering strongly from the pandemic-induced downturn
The industry primarily transports passengers by air over scheduled routes that either end or originate internationally. Airlines that provide scheduled international air freight transport are also included in the industry.
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ANZSIC 4900 - International Airlines in Australia
Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.
The pandemic decimated the International Airlines industry. Revenue plummeted once international borders shut, with operators making significant losses as fix costs mounted.
Learn about an industry's products and services, markets and trends in international trade.
Freight transport is a growing service segment. Freight transport was the primary source of revenue for international airlines during pandemic-induced border closures.
Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.
Most industry activity occurs in Sydney. The spread of industry activity largely follows the distribution of Australia’s major international airports.
Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.
Industry competition has intensified in recent years. Price competition has heated up as the number of international airlines operating routes to and from Australia increases...
Learn about the performance of the top companies in the industry.
Qantas is the largest airline in Australia, operating in the industry through its flagship Qantas airline and its low fare carrier, Jetstar. The national carrier has an exten...
Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.
International airlines are heavily regulated. Most industry regulation is focused on enhancing aviation safety and ensuring fair competition between airlines.
View average costs for industry operators and compare financial data against an industry's financial benchmarks over time.
Airlines are recovering from dismal profit margins during the pandemic. Now that restrictions have eased, operators are focusing on restoring profitability through careful ca...
Including values and annual change:
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Key data sources in Australia include:
Analysts also use industry specific sources to complement catch-all sources, although their perspective may focus on a particular organization or representative body, rather than a clear overview of all industry operations. However, when balanced against other perspectives, industry-specific sources provide insights into industry trends.
These sources include:
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The market size of the International Airlines industry in Australia is $27.9bn in 2024.
There are 58 businesses in the International Airlines industry in Australia, which has declined at a CAGR of 1.6 % between 2018 and 2023.
The market size of the International Airlines industry in Australia has been declining at a CAGR of 2.5 % between 2018 and 2023.
Over the next five years, the International Airlines industry in Australia is expected to grow.
The biggest companies operating in the International Airlines market in Australia are Qantas, Singapore Airlines and Emirates
Full-fare passenger transport and Low-fare passenger transport are part of the International Airlines industry.
The company holding the most market share in Australia is Qantas.
The level of competition is high and increasing in the International Airlines industry in Australia.