Lufthansa: sees rebound after 'weak' first quarter
(CercleFinance.com) - German carrier Lufthansa said on Tuesday that it expects to increase unit revenues in the second quarter after a "weak" first quarter.
The airline group made an adjusted EBIT loss of 336 million euros in the first quarter, due to an increase in fuel costs and a fall in unit revenues in Europe.
"Overcapacities, especially on short- and medium-haul European routes, substantially depressed our first-quarter earnings," said CFO Ulrik Svensson.
Total revenues for the first quarter rose by 3% to 7.9 billion euros.
For 2019 as a whole, Lufthansa said it still expects to post year-on-year revenue growth of "a mid-single-digit percentage amount."
"Much depends on whether the second-quarter rebound indicated by forward bookings comes through and is sustained into the third-quarter peak," analysts at Liberum warned.
The Lufthansa share was down 1.5% in Frankfurt this morning after these results were published.
Copyright (c) 2019 CercleFinance.com. All rights reserved.
The airline group made an adjusted EBIT loss of 336 million euros in the first quarter, due to an increase in fuel costs and a fall in unit revenues in Europe.
"Overcapacities, especially on short- and medium-haul European routes, substantially depressed our first-quarter earnings," said CFO Ulrik Svensson.
Total revenues for the first quarter rose by 3% to 7.9 billion euros.
For 2019 as a whole, Lufthansa said it still expects to post year-on-year revenue growth of "a mid-single-digit percentage amount."
"Much depends on whether the second-quarter rebound indicated by forward bookings comes through and is sustained into the third-quarter peak," analysts at Liberum warned.
The Lufthansa share was down 1.5% in Frankfurt this morning after these results were published.
Copyright (c) 2019 CercleFinance.com. All rights reserved.