Lufthansa: results collapse - loss made as crisis ravages

(CercleFinance.com) - The health crisis and its impact on the airline sector have plunged Lufthansa's accounts into the red in 2020, as reflected in the German airline's results published on Thursday.


FY 2020 ended with an operating loss of 5.5 billion euros, compared with an operating profit of 2 billion euros in the previous financial year, the group said in a statement.

Even so, the consensus expected a greater loss of around 5.6 billion euros.

Revenues fell to around 13.6 billion euros, a far cry from the 36.4 billion euros in 2019.

In its statement however, Lufthansa says that it is preparing for strong growth in demand this year, while specifying that its capacities only expect between 40% and 50% of 2019 levels.

The airline therefore says that it expects another operating loss in 2021, albeit lower than in 2020.

In Frankfurt, the airline's share price was flat (+0.1%) after these announcements, although it has still risen by over 18% YTD.


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