Revenue at IAG Cargo has increased by eight per cent in 2017 helped by the market improving throughout the year, ending with a very strong fourth quarter.

Commercial revenue grew from €1.02 billion in 2016 to €1.08 billion in 2017 helped by what IAG Cargo describes as an “unexpectedly buoyant market in 2017”, especially in the second half.

Volumes measured in cargo tonne kilometres were up 5.6 per cent and capacity increased by 4.8 per cent.

It reports that trading conditions were challenging in certain regions but Asia Pacific was stronger following a weak performance in the same period last year.

IAG Cargo chief executive officer, Lynne Embleton says that the airline group handled large volumes across each of its hubs and demand for premium products was particularly high.

She says: “Our non-off-loadable Critical product saw sustained growth over the year and was the preferred method of shipment for a huge variety of goods ranging from oil and gas equipment to spices and dried fruit in the run up to the festive period.”

Embleton adds: “Building on the early success of Critical, we launched Constant Climate Critical in July, extending our most urgent, time-sensitive product to the pharmaceutical sector. This has enabled thousands of emergency medical shipments, including vital vaccines and lifesaving medicines, to reach their destination in the swiftest and most secure way.”

The FWD.Rewards programme, which was launched in May 2017 has also proved popular, with Embleton commenting: “The launch of FWD.Rewards in May 2017 saw us pioneer a loyalty programme that rewards small and medium sized freight forwarders through points that are redeemable against flights, hotels and cargo credit. Nine months on from its launch, we have more than 1,000 customers participating in the scheme, which continues to go from strength to strength.”