The German Lufthansa group posted losses in the first half of 2019. While the group’s turnover increased by 4% compared to last year (€9.6 billion in 2019 compared to €9.3 billion in 2018), net income fell by 70% to €116 million at the beginning of 2019, mainly due to competition and rising costs. As a reminder, this figure was +713M€ in 2018. “Our result is affected by strong competition in Europe” from low-cost airlines, says Ulrik Svensson, Lufthansa’s CFO,
Fuel prices also contributed to this drop in profits by nearly 450 million euros in additional costs. A provision of €340 million for tax risks and higher costs also contributed to this development.
Lufthansa Groups counts Air Dolomiti, Austrian Airlines, Austrians Arrows, Brussels Airlines, Edelweiss Air, Eurowings, Germanwings, Lufthansa, SunExpress (50%) and Swiss.