Airline heavyweights Air France-KLM and British Airways owner IAG revealed disappointing third quarter earnings Thursday (October 31).

Shares in Air France-KLM fell almost 12% before partially recovering as the airline group posted lower-than-expected earnings.

Operating profits fell 16% to 900 million euros - or around $1 billion - in Q3.

Analysts had expected 951 million in profits.

Air France-KLM said trade tensions and other geopolitical problems hurt demand and fares.

The firm also projects slower travel demand will impact ticket sales for the rest of 2019.

British Airways owner IAG said earnings took a hit from industrial action by pilots at the airline.

The group said September's strikes - along with other disruption - hit operating profit by $173 million in the third quarter.

BA pilots were on strike for 48 hours in September in a dispute over pay.

The pilot walkout - the first in the airline's history - grounded 1700 flights.

IAG also saw disruption at other airports.

Strikes by ground staff at its Iberia airline - which also serve its Vueling brand - have disrupted flights to Barcelona.