Lufthansa posts first half 2012 net loss of €168m

Deutsche Lufthansa AG reported an upward trend in earnings performance in the second quarter of this year. In the period from April to June, the Group earned an operating profit of €361m, nearly making up the loss sustained in the first quarter. Positive factors included consistent capacity and yield management in passenger and cargo traffic, clear restructuring successes at Austrian Airlines and good earnings contributions from the service companies. In the first six months of the year, the latter all increased their operating profit in comparison with the same period last year. High fuel costs, persistent price pressure, the air traffic tax payable in Germany and Austria and fees for emissions trading certificates all diminished the Group’s profit, however. At the end of the first half-year 2012, the Company recognised an operating result of €-20m, €134m less than in the same period last year. The Lufthansa Group increased its revenue by six per cent to €14.5bn. After six months the net loss for the period came to €168m, which represents an improvement of €38m on last year. This includes a result from discontinued operations of €36m, reflecting the closing of the sale of British Midland Ltd.