Lufthansa Group reported a sharp decline in second-quarter operating profit as higher fuel prices and strike-related costs outweighed stronger passenger demand and higher revenue. The airline group said revenue rose 8% year on year to €11.1 billion, while Adjusted EBIT fell to €383 million from €870 million a year earlier.
According to the company, approximately €750 million in additional fuel costs during the quarter, together with at least €150 million in strike-related financial impacts, were the primary reasons for the earnings decline. Improved yields, particularly on Asian routes, partially offset these pressures.
The second quarter reflected resilient travel demand but a more challenging cost environment for Europe's largest airline group.
Key financial highlights included:
Despite weaker profitability, Lufthansa said passenger demand remained robust across its network.
The group's network airlines reduced capacity by 3% during the quarter, mainly because of six strike days in April and ongoing optimisation of short-haul operations. Even with lower capacity, the load factor increased to 81.6%, while unit revenues rose 6.4%, supported by premium travel demand and stronger performance on Asian routes.
Fuel costs for the network airlines increased by more than €600 million year on year, largely because of higher kerosene prices linked to the conflict in the Middle East. Overall, the network airlines generated Adjusted EBIT of €137 million, a decline of €490 million from the previous year.
While the passenger airline operations came under pressure, Lufthansa's aviation services businesses delivered stronger results.
Lufthansa Technik reported:
Lufthansa Cargo also continued its positive momentum.
The business expanded capacity by 2% and benefited from sustained air freight demand, which lifted yields by 27% year on year. Adjusted EBIT improved to €116 million, compared with €73 million in the same quarter last year.
Carsten Spohr, Chairman of the Executive Board and Chief Executive Officer of Deutsche Lufthansa AG, said the quarter was shaped by geopolitical uncertainty and sharply higher fuel costs.
He said stronger load factors, higher yields and sustained demand for premium travel were not sufficient to fully absorb the increase in fuel expenses. He also highlighted continued progress in the group's fleet renewal, operational improvements and the strong contribution from Lufthansa Cargo and Lufthansa Technik.
Lufthansa has introduced a range for its full-year earnings guidance to reflect continuing uncertainty.
The group now expects Adjusted EBIT of between €1.7 billion and €2.2 billion for 2026, citing volatile kerosene prices and shorter booking cycles in the passenger business. It expects full-year capacity to remain broadly in line with the previous year, while its forecast for Adjusted free cash flow of approximately €0.9 billion remains unchanged.
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