Aer Lingus-owner IAG today stuck to its main long-term earnings and margin growth targets.
But it scaled back its plans to expand capacity in a sign of the tough environment in which airlines are operating.
IAG, which also owns the British Airways, Iberia and Vueling airlines, confirmed forecasts for average annual earnings per share growth of at least 12% and an operating profit margin of 12-15% for the 2016-2020 period.
Those are targets it first set out this time last year.
The group did, however, trim its forecast for core earnings, saying it expected this to average €5.3 billion a year, down from the €5.6 billion euros it had previously said.
IAG has already cautioned that currency effects would drag on its earnings this year after the pound weakened 14% against the euro and 16% since the dollar since Britain voted to leave the EU in June.
The outlook for most European airlines has darkened this year.
They face falling fares after carriers, particularly low cost ones, put more seats on to the market to try to take advantage of low fuel prices and gain market share.
Britain's Brexit vote and the resulting uncertainty and currency moves, a series of attacks in Europe, plus depressed appetite for corporate travel, have all put the brakes on demand this year.
This prompted IAG to trim capacity and twice downgrade its 2016 profit forecast.
IAG lowered its 2016-2020 capacity growth plans, measured in available seat kilometres, to around 3%a year, compared to the 3-4% previously targeted, and said it would invest less on capital expenditure each year.
The airline group also said it was focused on shareholder cash returns, highlighting its strong outlook for equity free cash flow targets and its strong balance sheet.
IAG is also suffering due to its exposure to Britain. It reports in euros but gets a third of its revenues from the UK and pays for fuel in dollars.
Meanwhile, the company said today that its group premium traffic for the month of October increased by 4.7% compared to the same last year.
