Lufthansa profit slumps 88% as fuel costs and strikes weigh on second quarter

· Business DEU
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Lufthansa's second-quarter net profit plunged 88 percent to 123 million euros as surging fuel prices and pilot strikes offset an eight percent rise in revenue to 11.1 billion euros, the airline reported.

Operating profit fell 56 percent to 383 million euros. Kerosene expenses rose by 750 million euros compared with the year-ago period, driven by a spike in prices after the Iran-US conflict and the closure of the Strait of Hormuz in late February. Six days of cockpit crew strikes in April cost an additional 150 million euros, though finance chief Till Streichert said roughly 60 percent of higher fuel costs were offset through fare increases.

The group posted a first-half net loss of 542 million euros, swinging from a prior-year profit, as passenger numbers dropped four percent to 35.6 million in the quarter. Lufthansa guided for full-year adjusted operating profit of 1.7 to 2.2 billion euros.

Story development

  1. Lufthansa pilots agree to arbitration and mediation after strikes cost 150 million euros
  2. Lufthansa profit slumps 88% as fuel costs and strikes weigh on second quarter

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