Lufthansa Group has achieved an Adjusted EBIT of €1.3 billion for the third quarter of 2019, only slightly below the EUR €1.4 billion of the prior-year period. Against the backdrop of higher fuel costs, which were €171 million above their 2018 level in the third quarter alone, the Group delivered a sound business performance for the period.
Total revenues for the Lufthansa Group for the third quarter of 2019 increased by 2% to €10.2 billion (prior year: €10 billion). Third-quarter Adjusted EBIT amounted to €1.3 billion (prior year: €1.4 billion), an 8% decline on the prior year. The Adjusted EBIT margin stood at 12.7% (prior year: 14.1%). Fuel costs for the period were €171 million above its prior-year level, primarily due to currency movements. Cost reductions in other areas only partly offset the increase.
The Eurowings turnaround is showing its first successes, and continues to be consistently pursued. Third-quarter Adjusted EBIT increased by 39% to €169 million (prior year: €122 million). Currency-adjusted unitrevenues were up 3.5% for the period, as a result of a substantial reduction in long-haul capacity and operational improvements. Unit revenues in short haul declined at a low single-digit percentage rate.
Eurowings should be back to profitability by 2021, and should achieve a margin of 7% in the longer term.
