Apple iPhone Case Profits Surpass Airline Per-Passenger Revenue: IATA Chief Highlights Industry Margin Disparity

Apple's profit margin from selling a single iPhone case exceeds what airlines earn per passenger, according to IATA Chief Willie Walsh on Tuesday.

The International Air Transport Association's Director General emphasized that the airline industry's profit margins remain minimal despite their critical economic importance. The IATA, representing approximately 360 global carriers, released its financial outlook for 2026, projecting a total net profit of USD 41 billion.

"Industry-level margins are still a pittance considering the value that airlines create by connecting people and economies. They stand at the core of a value chain that underpins nearly 4 percent of the global economy and supports 87 million jobs," Walsh stated.

He highlighted the stark contrast: "Yet Apple will earn more selling an iPhone cover than the USD 7.90 airlines will make transporting the average passenger."

Walsh further pointed out significant imbalances within the air transport value chain, particularly when comparing airline margins to those of engine manufacturers, avionics producers, and various service suppliers.

For 2026, the net profit per passenger is projected to remain at USD 7.90, unchanged from 2025 and lower than the USD 8.50 recorded in 2023.

The global airline industry continues facing numerous challenges, including persistent supply chain disruptions, aircraft delivery delays, and geopolitical uncertainties.

According to IATA, fuel efficiency improvements are expected to reach only 1 percent as ongoing supply chain issues hamper fleet renewal efforts, pushing the average aircraft age beyond 15 years.