Lufthansa reports a 74.6% decline in Q3 profit, lowers full-year profit forecast
29 Oct 2008
Lufthansa Group has reported a 74.6% decline in third quarter net profit, at €149 million ($186.5 million), as compared to the €586 million achieved in the year-ago period. The group, which is Europe's leading aviation services supplier, also said it had lowered full-year operating profit target to "around" €1.1 billion.
The German company released a preliminary nine-month report yesterday and said it would follow up with complete third quarter/nine-month results today.
Nine-month net earnings were €551 million, compared to €1.58 billion in the year-ago period, mainly on the back of special gains accruing from the sale of its stake in Thomas Cook and a tax benefit.
Revenue was up 13.6%, to €18.6 billion, but nine-month operating profit dropped 9.3% to €984 million. This, the group said, was "due to record levels in fuel costs which could not be fully compensated in the increasingly difficult environment."
Q3 operating profit was €279 million, down 53.8% from the €604 million posted in the year ago quarter ended 30 September 2007.