Lufthansa Group sets new profitability targets amid restructuring plan

Lufthansa Technik is moving forward with its “Ambition 2030” program by investing in core business growth and international expansion in locations like Canada and Portugal. It is also developing a “Defense” division as part of efforts to increase revenue and secure long-term viability.

Lufthansa Cargo seeks to capitalize on growing e-commerce demand by expanding cargo capacity at Frankfurt Airport and investing in automation and digitalization. These steps are aimed at positioning Lufthansa Cargo among the world’s top three air cargo providers.

The group’s transformation involves significant investments in fleet renewal—over 230 new aircraft by 2030—and continued implementation of programs such as “Turnaround” at Lufthansa Airlines. Efforts are underway to centralize digital initiatives within one executive department and combine resources from existing digital units.

The customer loyalty program “Miles & More” is set for expansion with plans to increase active members by 50 percent by 2030. New partnerships have been formed with Deutsche Bank for credit cards and Marriott Bonvoy for strategic cooperation.

Looking ahead to the period between 2028-2030, Lufthansa Group has set several medium-term financial targets:

- Adjusted EBIT margin between 8% and 10%

- Adjusted return on capital employed (ROCE) before taxes between 15% and 20%

- Adjusted free cash flow exceeding €2.5 billion per year

The company intends to maintain an investment grade rating from leading agencies while keeping minimum liquidity between €8 billion and €10 billion as a buffer against potential crises. Its dividend policy remains unchanged with payouts ranging from 20% to 40% of consolidated net income.

As part of integrated cooperation measures within the group companies, Lufthansa Group expects significant changes that will reduce duplicated work through digitalization and artificial intelligence. As a result, about 4,000 jobs are expected to be cut worldwide by 2030—mainly administrative positions in Germany—in consultation with social partners.

Further information can be found at https://investor-relations.lufthansagroup.com/en/events/capital-markets-day-2025.html