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Lufthansa looks to strong summer to shake off strike costs
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Lufthansa looks to strong summer to shake off strike costs
Apr 29, 2024 10:26 PM

BERLIN (Reuters) -Lufthansa hopes to claw back its strike-related losses in the second half of the year, the German flag carrier said on Tuesday, pointing to a strong summer season with bookings up 16% on the previous year.

The airline confirmed its forecast of full-year adjusted earnings before interest and taxes (EBIT) of 2.2 billion euros ($2.3 billion), which it had revised down two weeks ago following a wave of costly industrial action, but said earnings in the second quarter would still be below the prior-year level.

In the second half of the year, the group's operating result is expected to be higher than in the previous year, it said, adding that savings measures were planned at its core brand Lufthansa Airlines to stem heavy losses there from the strikes.

""We are now leaving the first quarter behind us, which was mainly impacted by strikes, and are at a turning point," CEO Carsten Spohr said.

"Our planes remain well-filled throughout. One thing is already clear: It will be another very strong summer," he added.

However, with lower capacity in the first half of the year, the group now expects a slower return to pre-crisis levels, tweaking its forecast capacity level for 2024 to 92% versus a previous 94%.

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