Irish Continental's controversial cost cutting measures last year have bolstered profitability at the group despite a fall in passenger numbers.
ICG's half year results published his morning show that in the seasonally less significant first half of the year, earnings were €18.5 million compared with €17.1 million in the same period in 2005.
Revenue for the half year was up 2 per cent to €141.9 million, while operating profit rose 28 per cent to €5.5 million.
The group said that the trend in declining passenger numbers continued through the peak summer season having declined by by 10 per cent between January and June. However, the freight business increased by 3 per cent over this period.
ICG warned that competing freight capacity coming on stream in the second half may affect growth in the freight market. Overall it expects a "challenging revenue environment" in the second half of 2006, though this will be mitigated by the cost savings introduced last year.