Lufthansa's Remarkable Rebound

In 2023, Lufthansa Group witnessed a remarkable financial rebound, marking it as the third-best year in its history, with net profits more than doubling compared to the previous year. Revenue surged by 15%, reaching €35.4 billion, and passenger numbers climbed by 20%, surpassing 120 million. This strong performance enabled the company to plan dividends for the first time since the pandemic outbreak, demonstrating its regained financial strength.

However, the company faced challenges in the last quarter of 2023, with revenue growth slowing down and income falling below expectations. Additionally, ongoing strikes by ground staff in Germany disrupted operations, leading to flight cancellations.

Looking ahead to 2024, Lufthansa anticipates continued growth driven by increasing demand for flights, particularly to popular destinations in the Mediterranean and North America. The company plans to expand its capacity by 12% and invest in expanding its fleet by adding more than 30 new planes. Despite these positive projections, the company expects overall capacity to remain below pre-pandemic levels.

Furthermore, Lufthansa aims to invest €325 million in Italian airline ITA Airways, pending approval from the European Commission, which is expected in 2024. Overall, the company foresees maintaining its operating results at the level of 2023 while expecting significant revenue growth for the full financial year.