Turkish Airlines shares climb after third-quarter profit beats forecasts

On Wednesday, Turkish Airlines' stock increased by 4.3% following the announcement that the airline had reported a third-quarter net profit that exceeded market expectations. The carrier's net profit for the quarter was $1.29 billion, surpassing the anticipated $1.11 billion from brokerage Deniz Yatirim. A significant factor contributing to the strong results was the cargo operations segment, which saw a substantial 45.6% revenue increase to $1.2 billion.

This surge in cargo revenue was attributed to geopolitical events that limited market supply capacity, as stated by the company. Turkish Airlines also reported a 3.2% increase in available seat kilometers, reaching 76.8 billion for the quarter. However, the Middle East region experienced a 21.6% year-on-year decline in this metric.

The company's third-quarter EBITDA margin declined by 4.5 percentage points to 22.5% compared to the same period last year, primarily due to higher fuel costs.