BUSINESS LIVE: BA-owner slumps to £2.5bn loss; EVRAZ warns of sanction

BUSINESS LIVE: US shares bounceback; BA-owner IAG slumps to £2.5bn loss; Russian miner Evraz warns of sanctions; Pearson in £350m buyback

British Airways owner IAG expects passenger capacity to grow to 85 per cent of pre-pandemic levels and a return to profitability in 2022, after a collapse in capacity to just 36 per cent of the 2019 level led to a €2.97billion (£2.48billion) net loss.

It had warned in November that it was heading for a 2021 loss of about €3billion, hurt by pandemic restrictions for most of the year, an improvement on 2020’s €4.39billion loss.

London-listed Russian miner EVRAZ has warned investors about the potential impact of ‘economic uncertainty’ and the ‘risk of the imposition of sanctions’, following the country’s invasion of Ukraine on Thursday.

The group, which saw its share price fall by more than 25 per cent yesterday, turned a net profit of £3.1billion in 2021, up from £858million in the previous year.

Global education group Pearson will launch a £350million share buyback after demand for assessment and qualification services enabled it to hit 2021 targets and set out medium-term growth goals.

The British company posted 2021 adjusted operating profit in line with recently upgraded forecasts and said it saw stable growth ahead.

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IAG expects a ‘significant’ operating loss for the first quarter of 2022 due to normal seasonality, the impact of Omicron on near-term bookings and the impact on operating costs of re-building capacity