LONDON — Air France's expensive pivot toward luxury travel appears to be paying off, with generous servings of caviar and champagne helping the Paris-based carrier weather the fallout from the Iran war, Chief Executive Ben Smith told Reuters on Friday.

The nearly seven-month-old conflict has sent jet fuel bills soaring and disrupted travel patterns worldwide, forcing airlines — including Air France's parent, Air France-KLM — to cut capacity and rein in spending. Jet fuel ranks among the largest expenses on an airline's books, which is why prolonged spikes typically push carriers into grounded routes and pared-back schedules. Air France, by contrast, is riding things out.

The carrier has tapped into the buzz generated by the television series Emily in Paris and tourists' enduring fascination with the French capital's fashion, food and hotel scene. It has doubled down on premium offerings, upgrading onboard menus with luxury-branded products and investing heavily in its most lucrative cabins.

"All the luxury brands are based in Paris. We have more Michelin-starred restaurants than anywhere in the world in Paris," Mr. Smith said on the sidelines of a London awards show, where Air France won best first-class cabin. "So it is a very specific city. Not only is it gorgeous as a cultural location, but as a luxury city."

Air France is not alone in chasing premium demand. Europe's three largest airline groups — including British Airways owner IAG and Lufthansa, alongside Air France's own parent, Air France-KLM — have all unveiled redesigned first-class cabins in recent years as they pursue growing demand for premium travel, particularly from affluent US passengers.

Mr. Smith said Air France's wealthiest customers have not been put off by higher prices. Some former private jet users are even switching to first class, he noted, seeking to avoid the scrutiny attached to the higher emissions associated with private flights — a crossover that underlines how front cabins now court many of the same customers as private aviation.

Premium, business and first-class cabins have all delivered growth in bookings and revenue this year, despite Air France raising fares to offset surging fuel costs, according to Mr. Smith. Revenue from first-class and premium travel has risen 11%, according to company data. Premium seats occupy a small share of the aircraft but command far higher fares than economy, which helps explain why Europe's biggest groups keep investing in them even while trimming spending elsewhere.

Mr. Smith also played down concerns that rising inflation in the United States could hit premium spending. "We've raised ticket prices significantly, but no, it's quite solid. It's better than I would have expected," he said.

With Europe's largest carriers all chasing the same premium travelers, how Air France's top-end cabins keep performing as the conflict continues will be one gauge of whether first-class and business demand can keep absorbing higher fares.

— Reuters