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British Airways Parent IAG Shares Rise After Solid Full-Year Profit

IAG shares traded firmly higher Friday after the British Airways parent posted stronger-than-expected full-year profits and launched a €500 million share buyback program.

IAG plc (ICAGY) shares traded firmly higher Friday after the British Airways parent posted stronger-than-expected full-year profits and launched a €500 million ($528 million) share buyback program.

The group said operating profits rose 8.6% to €2.5 billion even as revenue slipped 1.3% to €22.5 billion amid a 14% rise in overall passenger numbers to more than 100 million.

"Our performance was affected by an adverse currency impact of €460 million. In particular, this was due to the weak pound following the U.K'.s EU referendum," said CEO Willie Walsh.

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IAG shares rose just more than 2.68% in the opening minutes of trading in London to change hands at 518.5 pence each, extending the three-month gain to just over 18%.