Clear
0 Selected+
Filters
Air
Luxury
Operators
Agencies
City and finance
Destinations
Cruise
Technology

Hello! You are viewing your 1 free guest article this week


Please log in or join now for free, immediate and unlimited access to our award-winning online content. Find out more...

Join us
Already a member? Log in here

Travel industry news

16 Apr 2019

BY James Chapple

Share
TRFBLI

Lufthansa Group posts £290 million first-quarter loss

Lufthansa Group has blamed soaring fuel costs and lower fares, driven down by “market-wide over-capacity” in Europe, for its €336 million (£290 million) first-quarter (Q1) loss.

Lufthansa tailfin sunset
Sharelines

Lufthansa posts £290 million first-quarter loss

The German airline group on Monday (15 April) posted adjusted Q1 ebit (earnings before interest and tax) down nearly €400 million on Q1 2018 (€52 million).


Fuel costs accounted for €202 million, said Lufthansa, while “substantial industry-wide capacity growth in Europe” had put “downward pressure on fares” during the three months to 31 March.


Lufthansa said the scale of the loss was exacerbated by strong Q1 results last year, which came off the back of the collapse of Air Berlin.


The group posted total revenue of €7.9 billion, up 3% year-on-year, and says its full-year outlook for adjusted ebit remains between +6.5% to +8.0%. It also expects to return to profit in Q2.


Ulrik Svensson, Lufthansa Group chief financial officer, said: “We are seeing good booking levels for the quarter ahead. At the same time, we have substantially reduced our own capacity growth.


“And with a reduction in growth also projected for the European market as a whole, we expect unit revenues to increase again in the second quarter.


“This should be further buoyed by the still-strong demand on our long-haul routes, especially to Asia and north America.”

What’s your view? Email feedback@ttgmedia.com and let us know your thoughts or leave a comment below.

Add New Comment
Please sign in to comment.
Show me more

Follow Us



Twitter
LinkedIn
Facebook
Instagram
YouTube
Soundcloud
TTG Media Limited.
Place of registration: England and Wales.
Company number 08723341.
Registered address: New Bridge Street House, 30-34 New Bridge Street, London EC4V 6BJ
Scroll To Top