Pandemic pushes Lufthansa to 1.5 billion euro second-quarter net loss


© Reuters. FILE PHOTO: Airplanes of German carrier Lufthansa stand on the tarmac at Munich International Airport

BERLIN (Reuters) – Germany’s Lufthansa (DE:) said it does not expect air travel demand to return to pre-crisis levels before 2024 and posted a second-quarter loss of 1.5 billion euros (1.36 billion pounds) as cost cuts failed to offset a steep decline in revenue.

The airline said on Thursday the collapse in demand for air travel due to the COVID-19 pandemic led to an 80% drop in revenue to 1.9 billion euros compared to 9.6 billion euros a year earlier. It posted a net loss of 1.5 billion euros.

“We are experiencing a caesura in global air traffic. We do not expect demand to return to pre-crisis levels before 2024,” Chief Executive Carsten Spohr said.

“We will not be spared a far-reaching restructuring of our business.”

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.

READ  Should I buy shares in Thomas Cook after 15% price fall?





READ SOURCE

LEAVE A REPLY

Please enter your comment!
Please enter your name here