Turkish Airlines Posts US$929m Q3 Operating Profit

ISTANBUL — Turkish Airlines (TK) reported US$929m in operating profit for the third quarter of 2026, down 12.3% from a year earlier, as higher fuel expenses outpaced revenue growth. The carrier released its results on November 4.

The airline's quarterly investor presentation shows revenue rose 19.3% to US$8.30bn, while net income fell 6.4% to US$1.29bn. The operating-profit figure, labeled profit from main operations in the presentation, is separate from net income and the airline's earnings measure before financing, taxes, depreciation, amortization and aircraft rent.

Passenger numbers increased by 4.7% to 28.5 million in July–September. Load factor rose 1.5 percentage points to 87.1%, as passenger growth exceeded the 3.2% increase in capacity measured in available seat kilometers.

Fuel Costs Outpace Revenue Growth

The financial statements show quarterly fuel expense reached US$2.61bn, up 58.5% from US$1.65bn a year earlier. Total operating expenses rose 25.3% to US$7.55bn, faster than revenue. Higher sales therefore did not translate into higher operating profit.

Cargo revenue rose 45.6% to US$1.23bn. That was a larger percentage gain than the 15.4% increase in passenger revenue to US$6.80bn, although passenger transport remained the larger revenue source.

Quarterly earnings before interest, taxes, depreciation, amortization and rent (EBITDAR) were US$2.104bn, with a 25.4% margin, down 4.2 percentage points. For the first nine months of 2026, EBITDAR totaled US$3.778bn, with a 17.6% margin, down 6.2 percentage points.

Slower Growth, Longer-Term Investment

In its November 4 earnings call, management said it expected full-year capacity growth of about 3.5%–4%, below the 10% target discussed before the Middle East conflict. That outlook is separate from the capacity increase already recorded in the third quarter.

The carrier is also continuing longer-term fleet investment. Its September 23 Boeing 737 MAX agreement covers 100 firm aircraft and 50 options; the optional aircraft are not firm orders.

In a July interview with Airways about fleet and cabin plans, Chairman Murat Şeker discussed introducing premium economy as early as 2028 and ambitions for nonstop Australia services. These remain plans, rather than confirmed operating changes in the third-quarter results.