Lufthansa lowers profit forecast

Lufthansa’s profit forecast has been lowered for 2015 taking into account the impact of strikes.

The German airline is expected to reach an operating profit of EUR1 billion in the 2014 financial year including a EUR170 million impact from the strikes.

Its operating profit for the first nine months of the year is already at EUR849m, higher than EUR663 last year.

For 2015 the carrier has predicted an operating result ‘significantly above the result of 2014’ instead of the EUR2bn previously forecasted.

The group recently announced its WINGS low-cost concept and also aims to streamline its sales and distribution structures to offer the same across Lufthansa, SWISS, Austrian Airlines and Brussels Airlines. Under this fare structures and classes will be ‘harmonised’ on short and medium-haul routes.

“We are currently working flat out to implement our work program with its seven strategic action areas, to ensure that we remain competitive in the longer term,” says Carsten Spohr, chairman and CEO of Deutsche Lufthansa AG.

He added: “Quality, efficiency and innovation are our prime focuses here. We’re making huge investments in quality and service for our customers; and we’re adopting new structures and innovative business models to tap into new growth opportunities and new customer groups. We’re also working further on our existing business areas, continually raising their efficiency.”

sourced:traveldailymedia.com