British Airways full-year profit more than doubles

British Airways warned of a rough year ahead because of the continuing fallout from the Heathrow fiasco and the soaring price of fuel.

The airline more than doubled net profit to 680 million pounds ($1.3 billion) in the year to March 31, from 290 million pounds in the previous year, despite operating troubles in recent months.

Revenue rose 3.1 percent to 8.75 billion pounds ($17 billion), with British Airways successfully lured corporate travelers on routes between the United States and London.

Pretax profits hit a record 883 million pounds ($1.7 billion), up 45 percent on the previous year.

The airline reported its widest ever operating margin of 10 percent, prompting its first dividend since the Sept. 11 terrorist attacks and millions in collective bonuses for staff.

British Airways rose 4 percent to close at 233 pence ($4.53).

"This is an outstanding financial result for the company despite rising fuel prices and significant economic slowdown in the last six months," said Chief Executive Willie Walsh, who attempted to defuse investor and public ire over the Terminal 5 fiasco by declining his bonus.

Walsh would have been entitled to 700,000 pounds ($1.36 million).

"I felt in the context of the disappointing opening associated with Terminal 5 that it would be inappropriate for me to take a bonus despite the excellent financial performance of the company," said Walsh, who has apologized repeatedly in public, but resisted calls for his resignation. Two other senior British Airways executives lost their jobs after a gala March opening that devolved into thousands of stranded passengers and a widespread loss of luggage.