IAG Share Price Was Down 2.65% on Hosting a Capital Markets Day

The International Consolidated Airlines Grp SA (LON: IAG) share price fell 2.65% after the airline group announced it was hosting a capital markets day today. The company invited institutional investors and analysts to its headquarters in London for multiple presentations from its executives. 

The presentations to be delivered by IAG's management team will offer insights into the company's strategic priorities and medium-term prospects. They will also outline the organisation's transformational efforts to achieve sustainable growth, exceptional margins, and long-term value for shareholders.

Among the key points to be discussed during the event are the medium-term targets, which include aiming for an operating margin of 12% to 15% and targeting an ROIC between 13% and 16%.

The company is committed to maintaining leverage (net debt/EBITDA) below 1.8x over the economic cycle. The firm also intends to resume dividends once the balance sheet and investment plans are secured.

The event will feature prominent figures from IAG, including Luis Gallego, the Chief Executive Officer, and Nicholas Cadbury, the Chief Financial Officer. They will be joined by members of the IAG Management Committee and senior executives from the Group's operating companies.

Some of the key topics on the agenda include IAG's Market Position, highlighting its substantial presence in some of the world's most valuable and rapidly expanding aviation markets. 

IAG’s Growth Strategy will also be discussed as it seeks to achieve sustainable growth through leveraging solid brands, an attractive customer base, and disciplined capital allocation.

The airline group also emphasises the potential for capital-light growth through partnerships with airlines in high-growth markets, with support from IAG's market-leading Loyalty business, contributing to consistent year-round cash flow.

Detailing the efforts to transform IAG's businesses to enhance customer satisfaction, achieve sustainable operating profit, and attain world-class margins and return on capital.

Luis Gallego, IAG Chief Executive Officer, said: “We are focused on extending our core leadership positions in the North Atlantic and South Atlantic through developing our hubs while enabling IAG Loyalty to reach its full potential within the Group. Our transformation and investment plans will drive a step change across our businesses, delivering efficiencies and a market-leading customer experience. Executing our strategy will enable us to deliver sustainable growth and returns for our shareholders.”

IAG share price. 

The IAG share price was down 2.65% to trade at 159.10p from Monday’s closing price of 163.43p.