LONDON/FRANKFURT, March 7 (Reuters) - Lufthansa

reported on Thursday an operating profit of 2.7

billion euros for 2023 as expected and said 2024 operating

results will be on par with last year as the German airline

struggles with costly labour disputes.

The impact of strikes and a drop in logistics profits will

lead to a higher expected operating loss in the first quarter

than in earlier years, the company said, offsetting strong

post-COVID travel demand.

"The group remains committed to its goal of generating a

sustainable adjusted EBIT margin of at least 8 percent," the

company said in a statement.

Europe's airlines have benefited from unprecedented demand

following the pandemic, allowing them to hike prices, but higher

labour and maintenance costs have limited earnings growth.

Lufthansa in particular has agreed to new, higher pay deals

to end strikes, which analysts and investors say threatens its

2024 operating margin target.

On Wednesday, its cabin staff voted by a majority to go on

strike as they seek a 15% wage hike, a potential harbinger of

further profit erosion.

The results come almost two weeks after the airline

announced the surprise departure of respected Chief Financial

Officer Remco Steenbergen, which knocked its share price and

rattled investor confidence.

Operating profits for 2023 were up from 1.23 billion euros

in 2022. Revenues of 35.4 billion were lower than the 36.3

billion euros expected in a company-issued poll, compared with

32.7 billion in 2022.