Lufthansa Group posts results for full year 2011

In 2011, the Lufthansa Group’s revenue totalled €28.7bn – an increase of 8.6% on the previous year. Traffic revenue improved by 10.8% to €23.8bn. Overall, the Group’s operating income went up to €31.2bn in the reporting period, an increase of 6.7%. Operating expenses rose by 9.3% in 2011 to €30.4bn. One of the main reasons was the €1.3bn rise in fuel costs, which came to €6.3bn in total. This represents a price and volume-driven increase of 26.4%. This figure already includes a positive hedging result of €694m. Fees and charges were up 15.8% on 2010. The Lufthansa Group generated an operating profit of €820m in 2011, down by €200m in comparison with the previous year. Altogether the net result for the period was €-13m. One year earlier, the Group posted a figure of €1.1bn. The net loss includes a negative valuation effect from changes in the time values of hedging transactions in line with IAS 39 and the result of discontinued operations containing bmi. Earnings per share consequently came to €-0.03. Cash flow from operating activities came to €2.4bn and free cash flow (cash flow from operating activities less net capital expenditure) to €713m. At the end of 2011, the Group had net debt of €2.3bn. Its equity ratio was 28.6%.