Proactive Investors - British Airways-owner International Consolidated Airlines Group (LON:ICAG) said its investor event today will include medium-term targets to return to paying dividends once its balance sheet and investment plans are secure.
Other medium-term targets set out by the FTSE 100-listed group in a statement ahead of the event included an operating margin of 12-15%, a return on invested capital of 13-16%, and leverage (net debt/EBITDA) of less than 1.8x over the cycle.
"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,” said chief executive Luis Gallego.
“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 reported record third-quarter numbers last month, helped by improved transatlantic demand and lower costs.
Some analysts remain unenthused, saying other European airlines may offer more attractive investment opportunities, with others having doubts over slowing growth.