The Lufthansa Group has reported a first quarter net loss of €467 million or (€0.39) per diluted share on a year-over-year increase in revenue of 40 percent to €7.0 billion. The Group’s net loss declined 20 percent compared to a loss of €584 million for Q1 2022.
On Wednesday (May 3, 2023) the Lufthansa Group reported their first quarter financial results for the period ending March 31, 2023. The Group reported a first quarter net loss of €476 million or (€0.39) per share, a 20 percent improvement versus a loss of €584 million for Q1 2022. For the first quarter, revenue increased year-over-year by 40 percent to €7.0 billion. In total, the Lufthansa Group welcomed 22 million guests during the first quarter, compared to 13 million during the same period last year. The company’s passenger revenue for Q1 increased 73 percent versus Q1 2022 to €5.2 billion. At March 31, 2023, Lufthansa Group had total liquidity of €10.5 billion.
In Wednesday’s announcement, Deutsche Lufthansa AG’s CEO, Carsten Spohr, said,
“The Lufthansa Group is back on track. After a good first quarter in which we were able to significantly improve our result, we now expect a travel boom in the summer as well as a new record in our traffic revenue for the year as a whole. On short- and medium-haul leisure-oriented routes, demand is already exceeding 2019 levels. The focus now is on once again offering our guests a consistent premium product experience on all group airlines. Our guests are already benefiting from numerous product improvements, both on the ground and on board. The Lufthansa Group is well positioned to further strengthen its position among the top five airline groups in global competition.”
Also commenting on the Group’s first quarter results, Deutsche Lufthansa AG’s Chief Financial Officer, Remco Steenbergen, said,
“The continuously strong demand gives us confidence for the coming months. The summer travel season will provide a major contribution to achieving our targets for 2023. At the same time, we will continue to invest in operational stability to offer our customers a smooth travel experience, even if this means that we are currently operating at a much lower efficiency and productivity level than originally planned. I am all the more convinced that we still have great potential to increase our earnings beyond 2023 once we leave the ramp-up phase behind us and the overall system gains further stability.”
Lufthansa Group's First Quarter 2023 Financial Results - Courtesy Lufthansa
Lufthansa Cargo generated a first quarter Adjusted EBIT of €151 million, down from €495 million during Q1 2022. Lufthansa Technik generated a first quarter Adjusted EBIT of €135 million, up form €129 million during the same period last year. The LSG Group reported a first quarter loss of €6.0 million, an improvement compared to a loss of €14.0 million during Q1 2022, on a 40 percent revenue increase to €523 million. As previously announced, on April 5, 2023, Deutsche Lufthansa AG signed an agreement with the private equity firm AURELIUS for the dale of LSG Group. The transaction is expected to close during the third quarter of 2023.
Source: Lufthansa Group