Lufthansa Group improves adjusted EBIT in the first quarter and confirms positive outlook for the full year

• Group revenue rises by 10 percent to 8.1 billion euros in the first quarter
• Adjusted EBIT improves by 127 million euros to -722 million euros
• Flight operations with best operational start to the year in ten years
• More passengers, higher average yields and stronger load factors on the North Atlantic in the first quarter compared with the previous year
• Lufthansa Technik achieves record results for the first quarter with Adjusted EBIT of 161 million euros
• Lufthansa Cargo continues positive development and improves Adjusted EBIT by 84 million euros compared with the previous year
• Demand remains robust in the second quarter
• Lufthansa Group confirms outlook: Adjusted EBIT for the full year 2025 still expected to be significantly above the previous year

Carsten Spohr, Chairman of the Executive Board and CEO of Deutsche Lufthansa AG:

“Global demand for air travel continues to grow. Despite all the geopolitical uncertainties, we therefore remain on course for growth, are optimistic about the summer, and are sticking to our positive outlook for 2025. In the first quarter, our airlines were able to sell their expanded capacity at higher yields in the market. Our revenue improved by ten percent compared with the previous year, with Lufthansa Cargo and Lufthansa Technik also contributing with their strong performance. On the North Atlantic, the number of guests rose by more than seven percent in the first quarter, with higher load factors and better yields. Demand continues to be robust for the second quarter. I am pleased that our guests are benefiting from significantly improved punctuality and stability, particularly with our core brand Lufthansa. Operationally, we had our best start to the year in ten years. I would therefore like to express my special thanks to all crew members, technicians, and employees at the airports and in the operations centers of our airlines, who contributed to this success with their great commitment.”

Results for the first quarter of 2025

The Lufthansa Group increased its revenue in the first quarter of 2025 by ten percent compared to the previous year to 8.1 billion euros (previous year: 7.4 billion euros). The company posted an operating loss (adjusted EBIT) of 722 million euros; a significant improvement compared to the previous year (previous year: -849 million euros).

The adjusted EBIT margin improved to -8.9 percent (previous year: -11.5 percent). The Group result fell to -885 million euros (previous year: -734 million euros).

Significantly improved punctuality and operational stability

The Group’s airlines expanded their capacity by almost five percent compared with the first quarter of the previous year. Load factors declined slightly to 78.7 percent. Thanks to moderate growth compared with previous years, the operational stability and punctuality of the passenger airlines improved significantly despite the rising number of flights. In operational terms, the core brand Lufthansa had its best start to a year in ten years. At the Frankfurt hub alone, 20,000 fewer hotel beds had to be booked for guests in the first quarter than in the same period in 2024. Direct compensation payments for flight delays and cancellations fell groupwide by 52 percent to EUR 47 million (previous year: EUR 98 million) due to significantly improved operational stability.

Cost increases weigh on passenger airline results

Revenue from passenger airlines rose by six percent in the first quarter to 5.9 billion euros (previous year: 5.6 billion euros). The operating result of the Lufthansa Group Passenger Airlines declined slightly with an adjusted EBIT of -934 million euros compared to the previous year (previous year: adjusted EBIT: -918 million euros).

Yields rose by 0.4 percent on average year-on-year driven by consistently high demand. Unit revenues (RASK) were 2.7 percent higher than in the previous year, partly due to significantly lower compensation payments to passengers compared with the strike-hit first quarter of the previous year.

Unit costs (CASK) excluding fuel and emissions expenses rose by 3.1 percent compared with the same quarter last year due to general cost increases. The main cost drivers were fee increases at system partners such as air traffic control (+19 percent) and airports, as well as high-cost inflation for maintenance services.

In addition, the seasonal shift of the usually strong Easter travel season, which fell in the first quarter last year, also had an impact on earnings development. Without this shift, the passenger airlines would have significantly improved their earnings compared with the previous year.

Strong first quarter on the North Atlantic

Demand for air travel to and from North America remained strong in the first quarter. The number of passengers rose by 7.1 percent compared with the previous year. Load factors were also higher than in the previous year, with the seat load factor 0.7 percentage points above the 2024 figure. Average revenues for flights to and from North America also developed positively in the first quarter. They rose by 6.7 percent compared with the first three months of the previous year.

Currently, demand in the US sales region continues to rise. In March, Lufthansa Group airlines carried around 25 percent more passengers from the US to Europe than in the same month last year.

Lufthansa Technik and Lufthansa Cargo continue positive trends

Demand for maintenance, overhaul and repair services and other products offered by Lufthansa Technik remains high. Revenue rose by 18 percent compared with the previous year to 2.0 billion euros (previous year: 1.7 billion euros). Adjusted EBIT rose by 49 percent to a new record level of 161 million euros (previous year: 108 million euros [1]).

In the logistics segment, capacity increased by seven percent due to the expansion of freight capacity in passenger aircraft because of a further increase in traffic volume and the addition of another Boeing 777 freighter, while sales also increased by nine percent. Average revenues rose by around 12 percent compared with the same quarter last year. Unit costs were reduced slightly thanks to successful cost management. As a result, Lufthansa Cargo generated a significantly improved adjusted EBIT of 62 million euros in the first quarter (previous year: -22 million euros).

Positive adjusted free cash flow further reduces net debt

Operating cash flow rose to around 1.8 billion euros in the first quarter (previous year: 1.3 billion euros). The change is mainly due to improved working capital in relation to a seasonal increase in ticket sales. Including a decline in net capital expenditure, Adjusted free cash flow improved to 835 million euros (previous year: 305 million euros).

The Group further strengthened its balance sheet in the first quarter of 2025. Net debt decreased to 5.3 billion euros compared with the end of 2024 (December 31, 2024: 5.7 billion euros). Net pension obligations fell to 2.2 billion euros due to interest rates (December 31, 2024: 2.6 billion euros). At the end of March 2025, the company had total liquidity of 11.4 billion euros (December 31, 2024: 11.0 billion euros).

Till Streichert, Chief Financial Officer of Deutsche Lufthansa AG:

“We are in a period of high volatility. In this environment, it is good news that we are making progress as planned on issues within our control, such as our turnaround program at Lufthansa Airlines. At the same time, we are keeping an eye on market risks. We are well prepared to respond should these materialize. However, it is not just about risks, but also about positive factors that are already supporting our earnings performance today, such as favorable fuel prices and exchange rates. These can help to offset the financial effects of any changes in demand. Overall, we therefore remain confident that we will be able to achieve a full-year result significantly above the previous year’s level.”

Outlook

Global demand for air travel remains strong. The Lufthansa Group therefore expects another strong summer travel season overall.

The most popular vacation destinations are Mediterranean destinations, especially Spain, Italy, and Greece. Demand for long-haul travel also remains steady. This also applies to flights to and from North America, where ticket sales for the second quarter are up on the previous year.

Nevertheless, macroeconomic uncertainties, particularly the trade tensions between the US, the EU and other regions, are making it difficult to forecast the coming quarters accurately. Visibility for the third quarter remains limited.

The Lufthansa Group has set up a task force to closely monitor current developments and, if necessary, respond quickly and flexibly to any weakening in demand, for example by adjusting capacity. The company also believes that potential market changes offer opportunities. For example, a further decline in kerosene prices could counteract temporary fluctuations in demand.

Despite the uncertainties, the Lufthansa Group is confirming its forecast for the full year with an operating result (adjusted EBIT) significantly above the previous year (1,645 million euros).

Further information

Further information on the results of individual business segments will be published in the report for the first quarter of 2025. This will be published simultaneously with this press release on April 29, 2025, at 7:00 a.m. CEST at https://investor-relations.lufthansagroup.com/en/investor-relations.html.

The traffic figures for the first quarter of 2025 will also be published at 07:00 CEST at https://investor-relations.lufthansagroup.com/en/publications/traffic-figures.html.

[1] Since the beginning of the 2025 fiscal year, Lufthansa Industry Solutions, which was previously part of the MRO division, has been allocated to the other companies and Group functions. The previous year’s figures have been adjusted accordingly.