British Airways Posts Sharp Rise in Profit

Financially troubled airline British Airways reported a sharp rise in profit for the last three months of 2003 thanks to a stringent cost-cutting program.

The airline said its net income -- after tax and minority interest -- was $154.4 million in the October-December quarter, up from $24.2 million in the same period in 2002 when results were hurt by the looming threat of war in Iraq. Revenue grew 1.6% to $3.52 billion.

British Airways is in the midst of a round of tough cost cutting that has seen it shed 13,000 jobs in the last two years while coping with a sharp decline in revenue.

British Airways rose 78 cents to $54.47 on the NYSE.