Lufthansa reports decline in Q2 profits

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By admin July 31, 2014 21:21

Lufthansa reports decline in Q2 profits

Lufthansa has reported a second-quarter operating profit of €359 million, far below analysts’ expectations of €416 million.

The airline cites a fall in ticket prices on North American, Asian and European routes as the reason for the decline.

After the announcement, Lufthansa CFO Simone Menne said: “We are not happy with the second quarter; we have a lot of catching up to do in the summer.”

The airline continues to forecast a full-year operating profit of around €1bn, and 2015 profit of €2bn.

Lufthansa also said yields were down 2.6%, adjusted for currency effects in the quarter, extending yield declines of 1% in each of the previous two quarters.

Lufthansa CEO Carsten Spohr has said the airline will now only increase the amounts of seats it offers this winter by 2% instead of a planned 4%.

The report follows on from the profit warning that Lufthansa issued last month.

admin
By admin July 31, 2014 21:21