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Lufthansa Group reports record revenue despite challenges in early 2024

Lufthansa Group reports record revenue despite challenges in early 2024
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Lufthansa Boeing 787 | Lufthansa

Carsten Spohr, Chairman of the Executive Board and CEO of Deutsche Lufthansa AG, said: “Aviation is and remains an industry of the future with sustained strong demand. Especially in unstable times, it enables international understanding through cultural and economic exchange. At the Lufthansa Group, we can look back on the strongest year in our history in terms of revenue, with a new load factor record. I would therefore like to thank our guests for their loyalty and all our employees for their great commitment. ”

Spohr noted that 2024 was a year of two halves for the Lufthansa Group. The first six months saw a significant decline in operating profit due to strikes, delayed aircraft deliveries, and operational challenges at hubs. However, the trend reversed later in the year with two consecutive quarters generating over 10 billion euros each in revenue.

The integration of ITA Airways, improved flight operation stability, and growing customer satisfaction were highlighted as key factors contributing to their success. Spohr added: “This year, 2025, will be a year of transformation for us with a clear goal: to further strengthen our position as the global number one outside the United States. ”

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In terms of earnings, the Group increased its revenue by six percent year on year to EUR 37.6 billion due to higher flight offerings. This marked the highest revenue year in Lufthansa Group's history. The operating profit (Adjusted EBIT) was EUR 1.6 billion with an operating margin of 4.4 percent.

The decline compared to the previous year was attributed mainly to strikes which cost around EUR 450 million and other factors such as high costs and productivity issues due to delayed aircraft deliveries.

Lufthansa Group Passenger Airlines expanded capacity welcoming131 million guests aboard their aircraft—a seven percent increase from last year—with a record passenger load factor at83 .1 percent.

Average yields fell by2 .6 percent annually but showed improvement over time; however , unit revenues dropped by4 .3percent overall while unit costs rose by1 .9percent owing largelyto strikesand inflationary pressures.

Overall ,Passenger Airlines generated Adjusted EBITofEUR1billionin2024downfromEUR2billionpreviouslymainlyduetoLufthansaAirlinesearningsdeclinebyEUR948millioncausedbydelayedaircraftdeliverieshighercostsandexpensesforflightirregularitiescompensation

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