Lufthansa Group has reported an 80% drop in revenue for the second quarter of 2020.
The Group recorded revenues of €1.9 billion compared to €9.6 billion at the same time last year. Most of the revenue (€1.5 billion) was generated by Lufthansa Cargo and Lufthansa Technik.
For the first half of 2020, Lufthansa Group revenue fell by 52% to €9.6 8 billion euros (previous year: 17.4 billion euros). During this time, he Lufthansa Group airlines carried a total of 23.5 million passengers, two thirds fewer than in the same period last year (66% reduction). Capacity decreased by 61%.
In the second quarter of 2020, the Lufthansa Group airlines carried 1.7 million passengers, 96% fewer than in the previous year. Capacity fell by 95%.
The Group currently expects demand for air travel to return to pre-crisis levels in 2024 at the earliest. In response, it is to embark on a comprehensive restructuring programme entitled “ReNew”, which also includes the restructuring program already underway at the airlines and service companies.
The aim remains to maintain the global competitiveness and future viability of the Lufthansa Group. The Group’s fleet is to be permanently reduced by at least 100 aircraft. Nevertheless, the capacity offered in 2024 is to correspond to that of 2019.
Carsten Spohr, Chairman of the Executive Board and CEO of Deutsche Lufthansa AG said: “We are experiencing a caesura in global air traffic. We do not expect demand to return to pre-crisis levels before 2024. Especially for long-haul routes there will be no quick recovery.”
The Group plans to return to 95% of the short- and medium-haul and 70% of the long-haul destinations by the end of the year.