British Airways’ interim management report shows that it carried 7.3% fewer passengers between 1 April and 30 September than the same period in 2009.
A total of 16.45m passengers travelled in 2010 period, down from 17.74m in 2009.
Meanwhile, fuel prices rose more than 25%, from an average of 172 US cents per gallon to 216 US cents.
British Airways chief executive Willie Walsh, said: "Our concerted efforts to introduce permanent structural change across the airline has led to a reduction in non-fuel costs and a return to profitability. Revenue has increased, driven primarily by yield improvements and, while fuel costs have risen, they are in line with our expectations."
Despite the drop in passenger numbers, passenger revenue increased 7.9% from £3.59bn to almost £3.88bn.
The airline also had £48m restructuring costs during 2009, added Walsh, which did not occur this year.
A Unite spokesman told C&IT it could be "several weeks" before results were known.