Despite strong first-half performance and positive passenger traffic trends, Lufthansa Group warns that geopolitical crises, macroeconomic uncertainties, and a trend toward last-minute bookings make it difficult to forecast results for the full year.
The parent company of Lufthansa, Austrian Airlines, Brussels Airlines, and Swiss reported a 25% year-on-year increase in operating profit in Q2, reaching €871 million, while total revenue grew by 3% to €10.3 billion. Passenger traffic surpassed 61 million travelers in the first half of 2025, with 37 million flying in the second quarter alone.
Despite these positive indicators, Lufthansa Group remains cautious. According to its earnings statement, “Global demand for air travel remains strong. However, geopolitical crises and macroeconomic uncertainties — especially fluctuations in key commodity prices and exchange rates — affect the accuracy of projections for the rest of the year.”
In addition, the tendency of travelers to plan their trips with shorter lead times “limits the ability to forecast for the second half of the year.”
Positive First-Half Balance
The adjusted net loss for H1 decreased to €244 million from €337 million in the same period in 2024. This improvement is mainly attributed to lower fuel costs, increased investment income, and the absence of strike-related expenses — a factor that had significantly affected last year’s results.
At the same time, network stability improved notably. According to the company, expenses related to flight delays and cancellations were reduced by €106 million.
However, competitive pressure in the European market began to affect revenue per available seat kilometer (RASK), which dropped by 0.9% in Q2 after adjusting for currency fluctuations. Lufthansa clarified that this was mainly due to lower ticket prices in the European market, where competition has intensified. In contrast, revenue from long-haul flights remained stable, despite increased seat capacity.
ITA Airways Integration Underway
A key strategic move for the Group’s future is the integration of Italian carrier ITA Airways, in which Lufthansa Group has acquired a 41% stake. The partnership expanded further in July, with joint benefits for loyalty program members, such as lounge access, priority boarding, and more favorable baggage policies.
Additionally, since July, travelers can now combine flights on Lufthansa, Swiss, Austrian, and Brussels Airlines with ITA Airways long-haul routes on the same ticket — a feature already available since March for short- and medium-haul routes.
Spohr: 2025 is a Transition Year
Group CEO Carsten Spohr commented, “Lufthansa Group remains on a growth path. Despite the challenges of the second quarter, we reaffirm our positive outlook for the year.” However, he noted that 2025 continues to be a transition year due to delays in aircraft deliveries, certifications, and engine repairs.
Spohr also criticized the “disproportionate burden on European airlines” caused by unilateral EU regulations, which — as he said — place them at a disadvantage compared to international competitors.
Finally, he emphasized that improved flight stability and consistency have significantly enhanced passenger satisfaction and reduced compensation payouts, directly boosting profitability. According to the company, Lufthansa achieved its best performance in flight stability and on-time departures since 2016.
