Moody's: Rising oil prices will not preclude airline profitability recovery

KUALA LUMPUR: The rising oil prices will not preclude the recovery of airline profitability during and post-pandemic, said Moody’s Investors Service (Moody’s).

In its sector comment, the research house said supply and demand fundamentals -- including the return of passengers, supported by increasing vaccinations and less stringent barriers to travel -- will have a greater influence on airlines' earnings than jet fuel prices, which will fluctuate with changing Brent oil prices.