Deutsche Lufthansa AG ( (DLAKY) ) has realeased its Q3 earnings. Here is a breakdown of the information Deutsche Lufthansa AG presented to its investors.
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Deutsche Lufthansa AG, a leading global aviation group, operates primarily in the airline and logistics sectors, offering passenger and cargo services along with maintenance, repair, and overhaul (MRO) solutions. The company is characterized by its expansive network of airlines and commitment to sustainability in its operations.
Lufthansa’s financial report for the first nine months of 2024 shows an increase in total revenue by 5% compared to the previous year, reaching €28,137 million. However, the company’s earnings performance has been notably affected by operational challenges including strikes, flight irregularities, and a competitive market environment leading to decreased yields.
Key financial highlights include a 48% drop in Adjusted EBIT to €1,177 million, primarily due to increased operational costs and the impact of strikes, which cost the company approximately €450 million. Despite these challenges, there was a 5% year-on-year increase in revenue driven by expanded flight operations and a strong MRO segment performance. The company’s adjusted free cash flow declined by 40% to €1,006 million, reflecting lower earnings and higher operating expenses.
Looking forward, the Lufthansa Group remains focused on strategic initiatives such as the acquisition of ITA Airways and the continuation of its turnaround program aimed at improving efficiency and quality. This forward-looking approach suggests the company is committed to overcoming current challenges and positioning itself for future growth.
