Category Archives: Lufthansa

Lufthansa Group loses 336 million euros in the first quarter

Lufthansa Group issued this statement:

Substantial industry-wide capacity growth in Europe leads to lower unit revenues on short- and medium-haul routes in comparison to the high levels seen in the prior-year period

  • Higher fuel cost of some EUR 200 million negatively impacts results
  • Group confident to increase unit revenues in the second-quarter period in view of favorable booking levels
  • 2019 full-year outlook remains unchanged

On a preliminary basis, Deutsche Lufthansa AG generated total revenues of EUR 7.9 billion in the first three months of 2019, a 3-percent increase on the prior-year period. Adjusted EBIT for the period amounted to EUR -336 million ($380 million US) on a preliminary basis (prior year: EUR 52 million).

Among other factors, first-quarter Adjusted EBIT was reduced by a EUR 202 million rise in fuel costs. Market-wide overcapacities in Europe also put downward pressure on fares. The negative trend was accentuated by the fact that first-quarter results for 2018 had been particularly strong, owing to the capacity reductions deriving from Air Berlin’s demise.

On this basis, the Lufthansa Group’s Network Airlines suffered a 5.2-percent currency-adjusted decline in their unit revenues for the period. The unit revenue decline at Eurowings, with its higher proportion of short- and medium-haul routes, amounted to 8.5 percent. First-quarter unit costs (ex fuel) decreased 0.8% percent at the Network Airlines and 7.2 percent at Eurowings, both on a currency-adjusted basis.

Lufthansa announced when presenting its 2018 annual results that, in view of the overcapacities in Europe, the strong comparable results for the prior-year period and the interim rise in fuel costs, earnings for the first quarter of 2019 were likely to be down from their prior-year level.

On a preliminary basis, the Network Airlines achieved an Adjusted EBIT of EUR -160 million (prior year: EUR 128 million) for the first quarter of 2019, while Eurowings saw its Adjusted EBIT for the period decline to EUR -257 million (prior year: EUR -212 million). First-quarter Adjusted EBIT for Lufthansa Cargo amounted to EUR 24 million (prior year: EUR 72 million), a 67-percent decline that is attributable to downward airfreight market trends, especially on routes between Europe and Asia. Lufthansa Technik reports a first-quarter Adjusted EBIT of EUR 125 million (prior year: EUR 107 million), while LSG achieved an Adjusted EBIT for the period of EUR 2 million (prior year: EUR 1 million). Adjusted EBIT for the Other Businesses amounted to EUR -59 million (prior year: EUR -29 million).

For 2019 as a whole, the Lufthansa Group confirms its expectation of an Adjusted EBIT margin of between 6.5 and 8.0 percent.

“We are seeing good booking levels for the quarter ahead,” says Ulrik Svensson, Chief Financial Officer of Deutsche Lufthansa AG. “At the same time, we have substantially reduced our own capacity growth. And with a reduction in growth also projected for the European market as a whole, we expect unit revenues to increase again in the second quarter. This should be further buoyed by the still-strong demand on our long-haul routes, especially to Asia and North America.”

Meanwhile Lufthansa is getting ready to take deliver of the first Airbus A321neo.

Photo: Lufthansa.

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Lufthansa to reinstate nonstop service from Munich to São Paulo

Lufthansa continues to expand its services from Munich. As of December 2, 2019 the airline will be reinstating the connection to São Paulo in its Munich flight schedule.

The carrier will operate three weekly connections with the Airbus A350-900 to Brazil’s largest city. Flight LH504 departs Munich every Monday, Thursday and Saturday at 10:30 p.m., arriving in Sao Paulo at 07:55 a.m. the following day. The return flight leaves the Brazilian metropolis at 07:00 p.m. local time and arrives in Munich at 09:35 a.m.

São Paulo is Brazil’s most important economic, financial and cultural center and the largest industrial urban area in Latin America. The greater metropolitan region of Grande São Paulo has a population of 21 million. This makes São Paulo one of the world’s largest cities.

Due to high demand, Lufthansa will be offering its second daily flight from Frankfurt to Chicago O’Hare International Airport in winter 2019/20 for the first time. Together with the joint venture partner United Airlines, a total of four daily flights will be offered. The Airbus A340 operated under flight number 432 is scheduled to take off from Frankfurt at 4:45 p.m. and arrive in “The Windy City”, on Lake Michigan, almost 10 hours later at 7:25 p.m. local time, local time. From Chicago United Airlines offers connections to 155 destinations in North America. The return flight is set for 22:55 in the evening, landing in Frankfurt at 13:35 the following day.

Photos: Lufthansa.

Munich – Osaka service is launched by Lufthansa

Munich Airport has made this announcement:

In time for the start of the summer timetable season, Lufthansa launched a new service from Munich to Osaka on March 31, 2019. The German carrier has decided to extend this route from Frankfurt to Munich. Along with the established flights operated by Lufthansa and All Nippon Airways to Tokyo, Munich Airport is now offering a second Japanese destination for the first time. With three daily connections, Munich Airport now ranks fifth in Europe in terms of flights to and from Japan.

From Europe, Japan’s third-largest city can be reached nonstop only from Amsterdam, Helsinki, London-Heathrow, Paris Charles-de-Gaulle and now Munich. Japan is one of the most important destinations in Asia – as demonstrated by the rising passenger figures. In 2018 a total of 200,000 passengers travelled in each direction between Munich and Japan.

Lufthansa is also adding a daily connection to Bangkok starting in June 2019, complementing the existing service operated by Thai Airways. Moreover, Lufthansa is bumping up the frequency of its flights to Seoul from 6/7 to 7/7. From June onward, Lufthansa will increase its service to Singapore from five flights a week to a daily connection. Passengers can now choose between two daily flights, either with Singapore Airlines or Lufthansa. In the summer of 2019, five airlines will depart 100 times per week to 10 destinations in seven countries in the Far East. This represents a 17 percent increase in the number of flights to that region over the previous year.

Lufthansa Group orders 40 Boeing 787-9 Dreamliners and Airbus A350-900 aircraft, will sell 6 A380s

Lufthansa Group is consistently forging ahead with the modernization of its long-haul fleet. In today’s meeting, based on the recommendation of the Executive Board, the Supervisory Board approved the purchase of a total of 40 state-of-the-art aircraft for the group’s airlines. The 20 Boeing 787-9 Dreamliners (above) and 20 additional Airbus A350-900 planes will primarily be replacing four-engine aircraft. The new planes will be delivered between late 2022 and 2027.

The order has a list-price investment volume of $12 billion USD. As is usual with such orders, Lufthansa Group has negotiated a significant price reduction. The parties have agreed not to disclose the actual purchase price.

“By replacing four-engine planes with new models, we are laying a sustainable foundation for our future in the long run. In addition to the cost-effectiveness of the A350 and B787, the significantly lower CO2 emissions of this new generation of long-haul aircraft was also a decisive factor in our investment decision. Our responsibility for the environment is becoming more and more important as a criterion for our decisions,” says Carsten Spohr, CEO and Chairman of Lufthansa Group.

The decision regarding which airline will deploy the aircraft at which hub will be made at a later date.

The investment in new technology, efficiency and passenger comfort is a continuation of the ongoing fleet modernization of the group’s airlines. The arilines of the Lufthansa Group currently operate a long-haul fleet of 199 aircraft (as of December 2018), including twelve state-of-the-art Airbus A350-900 aircraft. Beginning in 2020, Lufthansa will be introducing the new Boeing 777-9.

Investment in modern, fuel-efficient and low-noise aircraft

With the Airbus A350-900, the Boeing 777-9 and the Boeing 787-9, Lufthansa Group will own the most fuel-efficient long-haul aircraft of their class in terms of kerosene consumption per passenger and 100 kilometers flown. This order highlights the company’s desire to invest in cutting-edge technology in the interest of the environment. On average, the new aircraft will only consume around 2.9 liters of kerosene per passenger and 100 kilometers flown. That is 25% below what is used by predecessor aircraft, which will likewise have a positive impact on the CO2 footprint.

The Boeing 787-9 and Airbus A350-900 aircraft that have been ordered will primarily be replacing four-engine aircraft. By the middle of the next decade, the entire long-haul fleet will have been modernized. The possible fuel savings alone add up to 500,000 metric tons per year. This is equivalent to a CO2 reduction of 1.5 million metric tons.

A consistent focus on cost

With the new, more economical aircraft, the operating cost compared to the earlier models will sink by around 20 percent. In addition to this, Lufthansa Group will be significantly reducing the diversification and complexity of its fleet over the next few years and taking seven aircraft types out of service, which will reduce cost and complexity for maintenance and the supply of replacement parts, among other things.

After the long-haul aircraft rollover, the company will be offering its customers one of the world’s most modern fleets. This will also involve a significant increase in comfort and reliability.

Sale of six Airbus A380 aircraft

In today’s session, the Lufthansa Group Executive Board also informed the Supervisory Board of the sale of six of its 14 Airbus A380 planes to Airbus. The aircraft will be leaving Lufthansa in 2022 and 2023. The parties have agreed not disclose the purchasing price. The transaction will not affect the group’s earnings performance.

Lufthansa continuously monitors the profitability of its world-wide route network. As a consequence, the group is reducing the size of its Airbus A380 fleet from 14 aircraft to eight for economic reasons. The structure of the network and the long-haul fleet, fundamentally optimized according to strategic aspects, will give the company more flexibility and at the same time increase its efficiency and competitiveness. This will of course also benefit Lufthansa’s customers.

Lufthansa Group expands tourist-oriented long-haul portfolio in Frankfurt and Munich with Eurowings

  • First-ever Eurowings presence in Frankfurt as of October 
  • Lufthansa will support marketing and sales for the new long-haul destinations 
  • In Munich, Eurowings will supplement Lufthansa’s long-haul portfolio with daily flights to Bangkok (Thailand) 
  • Harry Hohmeister: “Lufthansa will actively shape the future of tourism together with Eurowings”
  • Thorsten Dirks: “We are combining the strengths of Lufthansa and Eurowings”

Lufthansa Group will be significantly expanding its tourist-oriented long-haul portfolio at its hubs in Frankfurt and Munich. After the successes of Edelweiss in Zürich and the deployment of the first few Eurowings long-haul aircraft departing from Munich, there will now also be flights available from Frankfurt, along with an increase in flights from Munich. For Frankfurt Airport, this means that, as of Fall 2019, Eurowings will be taking off from the metropolis on the Main river.

"BIZ class on board", leased from Brussels on April 29, 2018

As a first step, Eurowings will offer flights from Frankfurt to the popular vacation islands Mauritius and Barbados when the winter flight schedule goes into effect in October 2019. In addition to this, there will also be flights to Windhoek in Namibia, with other destinations currently being planned.

From the Munich hub, Eurowings has already been successfully offering long-haul connections to a selection of tourist destinations since Summer 2018. In the 2019/2020 winter schedule, Eurowings will also be connecting the Bavarian capital with Bangkok (Thailand). Connections from Munich to additional flight destinations are currently being planned.

This step goes hand in hand with a closer cooperation between Lufthansa and Eurowings at Germany’s biggest hub airport: “It is the right strategic step for the Group to combine the strengths of its two largest airlines in Frankfurt: going forward, we will be combining a product tailored to leisure travelers and families and the affordable cost structure of Eurowings with the sales and marketing power of Lufthansa at the Frankfurt location,” says Thorsten Dirks, Member of the Executive Board of Deutsche Lufthansa AG and CEO of Eurowings. “This makes it possible for the group to successfully evolve its portfolio for the growing tourism and leisure travel segment at Germany’s largest airport.”

For this expansion in the tourism segment, Eurowings will be using a total of seven Airbus A330 aircraft (with up to 310 seats), a portion of its fleet that is operated by Sun Express Deutschland. Capacities will be distributed evenly between the two Lufthansa hubs in Frankfurt and Munich.

Top Copyright Photo (all others by the airline): Eurowings (Brussels Airlines) Airbus A330-342 OO-SFB (msn 915) (BIZ class on board) BRU (Ton Jochems). Image: 945850.

Eurowings aircraft slide show:

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Lufthansa CityLine to operate Airbus A319s from Munich starting on March 31

D-AILB - First Airbus A319 for CityLine

Lufthansa CityLine will commence Airbus A319 operations from the Munich hub on March 31.

According to Airline Route, the carrier will fly A319s for Lufthansa from MUC to Amsterdam, Bremen, Copenhagen, Krakow, Marseille, Nantes, Prague and Zagreb starting on March 31.

Lufthansa CityLine is a wholly owned subsidiary of Deutsche Lufthansa AG and specializes in hub traffic at the airports of Frankfurt and Munich.

History of the company: CLICK HERE

The A319 will be a new type for the company:

The Lufthansa CityLine fleet comprises more than 50 modern and efficient aircraft including the Embraer 195, Embraer 190, Bombardier CRJ900 and Airbus A340-300.

Embraer 195

 

Embraer 190

 

Bombardier CRJ900

 

Airbus A340-300

 

Top Copyright Photo: Lufthansa-Lufthansa CityLine Airbus A319-114 D-AILB (msn 610) MUC (Arnd Wolf). Image: 945742.

Lufthansa CityLine aircraft slide show:

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Lufthansa repaints A321 D-AIRY “Die Maus” – now with a friend

Lufthansa issued these photos of the repainted Airbus A321-131 D-AIRY (msn 901) with “Die Maus” (the mouse) and a short statement on social media about the new “blue boyfriend”:

For years, the 🐭 one was on D-AIRY, now she brings 🐘 the little one. Freshly painted, the aircraft returns as flight LH9923 from Malta, landing at 12.40 at Munich ( with her blue boyfriend. At 16.30 D-AIRY is off as flight LH2056 to Berlin (TXL).

All photos by Lufthansa.