Weight-Loss Drugs Hold Promise of Big Savings for US AirlinesThe growing use of weight-loss products may end up saving the biggest US airlines as much as $580 million in fuel costs this year as passengers shed pounds and make planes lighter, according to a Jefferies analysis. With airlines historically going to extreme lengths to save weight — taking an olive out of a salad, removing in-flight magazines or pivoting to super slimline seats — the increased popularity of drugs such as Ozempic and Wegovy could trigger savings without compromises on service or quality. The top four US carriers, including United Airlines Holdings Inc.and Delta Air Lines Inc., are expected to spend $38.6 billion combined on jet fuel this year. Slimmer flyers could cut one of the industry’s biggest expenses by as much as $580 million, analysts including Sheila Kahyaoglu said in a report. “With the drug now available in pill form and obesity rates falling, broader usage could have further implications for waist lines,” according to the analysis. A 10% weight loss by passengers would save as much as 1.5% in fuel and boost earnings per share by 4%, the Jan. 12 note said. Analysts pointed to a three-year decline in the US adult obesity rate and a doubling in the number of adults reported to be taking weight-loss drugs. Airlines around the world use average standard weight measurements issued by global aviation authorities to calculate the weight of passengers into determining how much fuel they use. The analysts also said their savings estimates don’t include any lost snack sales Michael Rurik Halaby, FRAeS |
-------------------------------------------------------------------------- Revised: 20250507
You are receiving The Mifnet because you requested to join this list. The Mifnet is largely a labor of love, however the infrastructure isn't exactly cost-free. If you'd care to make a small contribution to the effort, please know that it would be greatly appreciated: https://wardell.us/url/mifbit All posts sent to the list should abide by these policies: 1) List members acknowledge that participation in Mifnet is a privilege--not a right. 2) Posts are always off the record, absent specific permission from the author. 3) The tone of discussions is collegial. 4) Posts are expected to be in reasonably good taste. 5) We discuss ideas and not personalities, and we don't speak ill of other Mifnet members. * The Mifnet WEB SITE is: https://www.mifnet.com/ * To UNSUBSCRIBE from this list at any time please visit: https://lists.mifnet.com/ OR: SEND THIS MESSAGE via email: [email protected]?subject=leave * Send Mifnet mailing list POSTS/SUBMISSIONS to: [email protected] * You may reach the person managing The Mifnet at: [email protected] * Please consider the DIGEST version of The Mifnet, which consolidates all list traffic into 1-3 messages daily. See instructions at: https://lists.mifnet.com/ * Manage your personal Mifnet SUBSCRIPTION at: https://lists.mifnet.com/ * For a list of all available Mifnet commands, SEND THIS MESSAGE via email: [email protected]?subject=help * View The Mifnet LIST POLICIES and PRIVACY POLICY at: https://mifnet.com/index.php/policies * View instructions for Mifnet DELIVERY PROBLEMS at: https://mifnet.com/index.php/delivery-problems * View The Mifnet LIST ARCHIVE at: https://lists.mifnet.com/hyperkitty/list/[email protected]/
