Lufthansa Posts €1 Billion Loss in Q1 Amidst Pandemic

Flag Carrier Expects Fast Recovery in Second Half of Year

By Paul Riegler on 29 April 2021
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Deutsche Lufthansa announced financial results for first quarter of 2021.

The airline reported a net loss of  €1 billion ($1.2 billion) for the first three months of the year amidst the coronavirus pandemic-induced decline in travel on revenue of €2.6 billion, a 60% year-over-year decline.

Two of its units, Lufthansa Cargo, and Lufthansa Technik, were profitable, however, The cargo unit reported a record operating profit of €314 million as freight prices continued to rise during the pandemic, while Lufthansa Technik showed a profit of €16 million.

The German flag carrier said it expected passenger numbers to continue to increase gradually through June and to begin a return to pre-pandemic levels in the second half of the year, citing the European Union’s plans to allow vaccinated U.S. citizens to visit.

“The longer the crisis lasts, the greater people’s desire to travel again becomes,” said the airline’s Vorstandsvorsitzender, Carsten Spohr. “We expect demand to rise sharply from the summer onwards.”

The carrier nonetheless only expects to fly about 40% of its pre-pandemic capacity in the months ahead.

(Photo: Accura Media Group)

Accura News

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