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Lufthansa, ebit tripled and profit more than doubled in the first half of 2023. Stock crash in Frankfurt 

Lufthansa announced record results in the second quarter of 2023, but suffers in Frankfurt (-6%) - EU decision on Ita "by the end of the year"

Lufthansa, ebit tripled and profit more than doubled in the first half of 2023. Stock crash in Frankfurt

Lufthansa take home one half yearly to frame. The German airline closed the first six months of 2023 with revenues equal to 9,4 billion euros, up 17% compared to the same period of the previous year. L'adjusted ebit almost tripled: increased to €1,1 billion from €392 million. This corresponds to an operating margin of 11,6% and is a new record for the group's second quarter result. Me too'Net income scored a new record of 881 million euros (previous year: 259 million euros). Values, the latter, higher than those of the previous year, even compared to pre-Covid 2019 thanks to the boom in bookings for summer flights.

Despite the excellent results, the title marks a bad performance. THE Lufthansa shares – listed on the Frankfurt Stock Exchange – have left on the field the 6,28% at 8,26 euros per share, against a drop in the Dax of just over one percentage point.

“Our outlook points to continued positive development for our customers, employees and shareholders: the earnings forecast clearly demonstrates that we are on track to achieve the market objectives we have set ourselves for the medium term. This allows us to make the highest quality investments planned for our clients.” The CEO of Lufthansa said so, Carsten Spohr, commenting on the results of the second quarter and emphasizing how the campaign continues assumptions with at least thousand new employees every month and a total of over 9000 hires year-to-date.

Lufthansa numbers for the first half of 2023

Broadening our gaze to the accounts of the German aircraft giant for the first half of the year, the group recorded a adjusted ebit of 812 million euros, against -185 million euros in 2022, with an improvement of almost 1 billion euros. The adjusted ebit margin rose to 4,9% in the first half (against -1,4% the previous year). Revenues in the first half of 2023 went from 13 billion in 2022 to 16,4 billion euros in the first half of 2023.

Traveler boom. Between January and June, the group's airlines welcomed more than 55 million travelers on board, an increase of 30% compared to the same period in 2022 (42,4 million). In the second quarter alone, 33,3 million passengers flew with the group's airlines (29,2 million the previous year). This corresponds to 84% of the 2019 level.

Lufthansa expects the demand for airline tickets it will remain high for the rest of the year: "people's desire to travel continues unabated", reads the note. Currently, bookings for the months of August to December 2023 average over 90% of pre-Covid tier booking volume.

Thanks to the excellent perspectives for the second half of the year, the group specified that for the 2023 expects to achieve an adjusted EBIT of over 2,6 billion euros, against 1,5 billion euros the previous year. The result should therefore be one of the three best in the history of the group.

Lufthansa: "By the end of the year ok to purchase the remaining stake in Ita"

As is known, the German company of the group intends to initially acquire 41% of Ita Airways with a capital injection of 325 million. The agreement, signed last June, will be subjected to scrutiny by the EU Antitrust. The green light should arrive "by the end of the year", as also confirmed by the company's press release. At the moment Lufthansa has not notified Brussels of its intention to invest in Ita but the move is expected.

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