• Home
  • Latest
  • Fortune 500
  • Finance
  • Tech
  • Leadership
  • Lifestyle
  • Rankings
  • Multimedia
FinanceLufthansa Group
Europe

Lufthansa vows turnaround plan to lift 2025 earnings, amid profit drop due to strikes, rising costs and aircraft delays

By
Sam Reeves
Sam Reeves
and
AFP
Down Arrow Button Icon
March 6, 2025, 5:38 AM ET
Lufthansa reported a net profit of 1.38 billion euros ($1.49 billion) last year, down 18 percent from 2023. Revenue rose slightly to 37.6 billion euros.
Lufthansa reported a net profit of 1.38 billion euros ($1.49 billion) last year, down 18 percent from 2023. Revenue rose slightly to 37.6 billion euros.MICHAELA STACHE/AFP via Getty Images

German airline giant Lufthansa said Thursday its 2024 profits dived during a turbulent year marked by strikes, rising costs and delays in aircraft deliveries, but vowed a turnaround plan will boost earnings this year.

Recommended Video

European rival Air France-KLM also reported a big drop in its annual net income as some tourists avoided Paris during the Olympic Games last summer.

Lufthansa reported a net profit of 1.38 billion euros ($1.49 billion) last year, down 18 percent from 2023. Revenue rose slightly to 37.6 billion euros.

“Strikes weighed on the passenger airlines,” Lufthansa said in a statement.

It also pointed to problems caused by “significantly higher costs, especially in Germany” as well as “further delays in aircraft deliveries”.

The result was nevertheless better than a forecast of just over one billion euros by analysts surveyed by the financial data firm FactSet.

It came after a two-year streak of improving earnings for one of Europe’s biggest aviation groups, whose carriers include Lufthansa, Eurowings, Austrian, Swiss and Brussels Airlines.

Like other airline groups, Lufthansa was hit hard when the Covid pandemic shut down global air travel and it had to be bailed out by the German government in 2020.

It recorded two years of losses before flying strongly back into profit as demand roared back when lockdowns were lifted.

Air France-KLM said its net profit fell almost threefold to 317 million euros from 934 million in 2023 due to the Olympics effect.

Its revenue rose 4.8 percent to 31.5 billion euros.

The Franco-Dutch group said the Paris Olympic Games cost the company 200 million euros in lost revenue as tourists decided to avoid the capital, plus 50 million euros in staff bonuses.

Other factors included rising costs and a strong dollar.

Upbeat outlook

Lufthansa’s poor results for 2024 came despite a seven-percent increase in passengers to 131 million.

For 2025, Lufthansa gave an upbeat outlook, saying it was aiming for operating profits that were “significantly higher” than last year.

The group’s 2024 operating profit — a key figure that indicates a company’s underlying health — fell nearly 40 percent to 1.6 billion euros compared to the previous year.

A turnaround programme launched last year for its flagship carrier, aimed at making hefty savings in the years ahead, will “lay the foundation for a sustainable increase in earnings”, it pledged.

Lufthansa faced substantial turbulence in the first half of 2024 when it was hit by a wave of strikes as workers pushed for higher pay to combat inflation.

The group’s ground staff and cabin crew staged repeated walkouts, which Lufthansa slammed as “uncompromising” and said risked “damaging our guests, the company and ultimately our employees”.

Its problems worsened later in the year due to a string of issues, including weak market conditions and delayed aircraft deliveries.

The Hamas-Israel war and broader tensions in the Middle East had an impact, forcing Lufthansa and Air France on occasion to suspend flights to and from several destinations in the region.

The German group has also blamed EU climate regulations, particularly rules related to sustainable aviation fuels, for increasing costs, and last year introduced an environmental charge for fares in Europe to compensate.

There has been some good news, however. Lufthansa in January finalised an agreement with Italy to acquire a minority stake in ITA Airways, the state-owned carrier born from the ashes of Alitalia.

Lufthansa has operational control of ITA, and will gradually increase its holding in the carrier to 100 percent.

“The complete integration of ITA Airways is expected to be completed after just 18 months,” Lufthansa said Thursday.

Join us at the Fortune Workplace Innovation Summit May 19–20, 2026, in Atlanta. The next era of workplace innovation is here—and the old playbook is being rewritten. At this exclusive, high-energy event, the world’s most innovative leaders will convene to explore how AI, humanity, and strategy converge to redefine, again, the future of work. Register now.
About the Authors
By Sam Reeves
See full bioRight Arrow Button Icon
By AFP
See full bioRight Arrow Button Icon

Latest in Finance

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025

Most Popular

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Rankings
  • 100 Best Companies
  • Fortune 500
  • Global 500
  • Fortune 500 Europe
  • Most Powerful Women
  • Future 50
  • World’s Most Admired Companies
  • See All Rankings
Sections
  • Finance
  • Leadership
  • Success
  • Tech
  • Asia
  • Europe
  • Environment
  • Fortune Crypto
  • Health
  • Retail
  • Lifestyle
  • Politics
  • Newsletters
  • Magazine
  • Features
  • Commentary
  • Mpw
  • CEO Initiative
  • Conferences
  • Personal Finance
  • Education
Customer Support
  • Frequently Asked Questions
  • Customer Service Portal
  • Privacy Policy
  • Terms Of Use
  • Single Issues For Purchase
  • International Print
Commercial Services
  • Advertising
  • Fortune Brand Studio
  • Fortune Analytics
  • Fortune Conferences
  • Business Development
About Us
  • About Us
  • Editorial Calendar
  • Press Center
  • Work At Fortune
  • Diversity And Inclusion
  • Terms And Conditions
  • Site Map

Latest in Finance

Price of silver for January 7, 2026
Personal Financesilver
Current price of silver as of Wednesday, January 7, 2026
By Joseph HostetlerJanuary 7, 2026
12 minutes ago
Price of platinum for January 7, 2026
Personal Financemoney management
Current price of platinum as of Wednesday, January 7, 2026
By Joseph HostetlerJanuary 7, 2026
12 minutes ago
Personal Financegold prices
Current price of gold as of January 7, 2026
By Danny BakstJanuary 7, 2026
30 minutes ago
CryptoCryptocurrency
Exclusive: Fireblocks acquires crypto accounting platform TRES Finance for $130 million
By Ben WeissJanuary 7, 2026
34 minutes ago
fraser
CommentaryLeadership
Moving from artificial intelligence to genuine intelligent leadership: top CEOs to watch in 2026
By Jeffrey Sonnenfeld and Stephen HenriquesJanuary 7, 2026
1 hour ago
Hands and notebook, numerical indicators and cash dollar bills -Economics chart
NewslettersCFO Daily
What CFO pay packages reveal about long-term strategy
By Sheryl EstradaJanuary 7, 2026
1 hour ago

Most Popular

placeholder alt text
Personal Finance
Janet Yellen warns the $38 trillion national debt is testing a red line economists have feared for decades
By Eva RoytburgJanuary 5, 2026
2 days ago
placeholder alt text
Economy
Mark Cuban on the $38 trillion national debt and the absurdity of U.S. healthcare: we wouldn't pay for potato chips like this
By Nick LichtenbergJanuary 6, 2026
22 hours ago
placeholder alt text
Law
Amazon is cutting checks to millions of customers as part of a $2.5 billion FTC settlement. Here's who qualifies and how to get paid
By Sydney LakeJanuary 6, 2026
19 hours ago
placeholder alt text
Success
Blackstone exec says elite Ivy League degrees aren’t good enough—new analysts need to 'work harder' and be nice 
By Ashley LutzJanuary 5, 2026
2 days ago
placeholder alt text
Future of Work
'Employers are increasingly turning to degree and GPA' in hiring: Recruiters retreat from ‘talent is everywhere,’ double down on top colleges
By Jake AngeloJanuary 6, 2026
20 hours ago
placeholder alt text
AI
Experienced software developers assumed AI would save them a chunk of time. But in one experiment, their tasks took 20% longer
By Sasha RogelbergJanuary 5, 2026
2 days ago

© 2025 Fortune Media IP Limited. All Rights Reserved. Use of this site constitutes acceptance of our Terms of Use and Privacy Policy | CA Notice at Collection and Privacy Notice | Do Not Sell/Share My Personal Information
FORTUNE is a trademark of Fortune Media IP Limited, registered in the U.S. and other countries. FORTUNE may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.