Lufthansa Group is planning to order 108 new aircraft – up to 100 short and medium-range aircraft and eight long-range aircraft. The carrier is in negotiations with Airbus and Boeing but the deliveries will be made between 2015 and 2025.
Lufthansa Group posted revenues of €30.1 billion – up 4.9% over last year – and generated an operating profit of €524 million, a decline of 36.1%. The Group had forecast an operating profit for 2012 in the mid-three digit million euro range. The operating result contains restructuring costs arising from measures taken in the SCORE Change for Success programme, which amounted to €160 million. The partial transfer of Austrian Airlines’ flight operations to Tyrolean Airways had a positive one-off effect of €115 million on the operating result.
Commenting on the preliminary results, CEO and Chairman of the Board of Lufthansa AG Christoph Franz said: “Profitability for an airline is not simply a given in the present industry environment, it is a good performance. In order to successfully meet the changes in the aviation industry, however, we need to perform even better. Only then can we create the necessary scope for the measures we need to take to shape the future of the Lufthansa Group ourselves. A net profit driven by one-off effects must not mislead us into disregarding the pressure to act.” Group net profit in the 2012 business year rose from minus 13 million euros in 2011 to 990 million euros. The increase is attributable to non-recurring effects ensuing from the sale of equity investments.
In light of the decreasing operating results as well as the ongoing extensive restructuring process, the board has decided to suspend the dividend payment. “Our aim is to allow our shareholders to participate sustainably in the Group’s future success. Our SCORE Change for Success programme will contribute positively to this objective. It is now all the more important to invest all available resources in the Group in order to drive that future programme forward” said Franz.
By the end of 2025, Lufthansa Group said it expects to take delivery of 239 aircraft with an order volume of €23 billion, based on list prices. “The new aircraft will meet the Lufthansa Group airlines’ future growth and fleet renewal requirement for this period, particularly with regard to short- and medium-range aircraft,” it said in a statement.
Lufthansa planning aircraft order
