Icelandair records strongest year in company history

Passenger growth, improved punctuality and lower emissions mark 2025

Icelandair has closed 2025 with record-breaking results, surpassing five million passengers for the first time in its history. This represents an eight percent increase compared to the previous year.

December sets new benchmark

December became the strongest month ever for the airline, with 344,000 passengers carried. Nearly half of all travellers used Iceland as a connecting hub, highlighting the continued importance of Icelandair’s transatlantic network strategy.

The airline achieved a record load factor of 84.1 percent in December. Operational reliability also improved significantly, with on-time performance reaching 83.9 percent for the full year, placing Icelandair among Europe’s top-performing airlines.

Icelandair also reported progress on sustainability targets. CO₂ emissions per operational tonne kilometre decreased by six percent in December, supported by a higher share of fuel-efficient aircraft and consistently strong load factors.

Growth beyond passenger traffic

In addition to passenger growth, Icelandair strengthened its leasing and cargo operations. Sold block hours in leasing increased by eleven percent year on year, while freight volumes measured in freight tonne kilometres grew by three percent.

By increasing capacity during off-peak periods, Icelandair continues to focus on reducing seasonality and making better use of existing infrastructure.

More on Icelandair.

Header: © Nicolas J- Leclercq Unsplash