This article has been reviewed according to Science X's editorial process and policies . Editors have highlighted the following attributes while ensuring the content's credibility: It was the second straight year of profits. German airline giant Lufthansa more than doubled its profits in 2023, extending a rebound from the coronavirus pandemic even as it faces fresh risks from a wave of industrial action. The group reported Thursday a net profit of 1.67 billion euros ($1.82 billion), up substantially from ...

Investors looking for stocks in the Transportation - Airline sector might want to consider either Deutsche Lufthansa AG (DLAKY) or Ryanair (RYAAY) . But which of these two stocks is more attractive to value investors? We'll need to take a closer look to find out.Everyone has their own methods for finding great value opportunities, but our model includes pairing an impressive grade in the Value category of our Style Scores system with a strong Zacks Rank. The proven Zacks Rank emphasizes companies with posit ...

The proven Zacks Rank system focuses on earnings estimates and estimate revisions to find winning stocks. Nevertheless, we know that our readers all have their own perspectives, so we are always looking at the latest trends in value, growth, and momentum to find strong picks.Of these, perhaps no stock market trend is more popular than value investing, which is a strategy that has proven to be successful in all sorts of market environments. Value investors rely on traditional forms of analysis on key valuati ...

Investors interested in stocks from the Transportation - Airline sector have probably already heard of Deutsche Lufthansa AG (DLAKY) and Ryanair (RYAAY) . But which of these two stocks presents investors with the better value opportunity right now? Let's take a closer look.The best way to find great value stocks is to pair a strong Zacks Rank with an impressive grade in the Value category of our Style Scores system. The proven Zacks Rank puts an emphasis on earnings estimates and estimate revisions, while o ...

This article has been reviewed according to Science X's editorial process and policies . Editors have highlighted the following attributes while ensuring the content's credibility: Lufthansa said it remains 'optimistic' the bid to buy 41 percent of ITA. The EU's powerful antitrust authority opened an in-depth investigation on Tuesday into German airline Lufthansa's proposed stake in Italy's ITA Airways, over fears it could hurt competition. The European Commission said it had "preliminary concerns that t ...

The proven Zacks Rank system focuses on earnings estimates and estimate revisions to find winning stocks. Nevertheless, we know that our readers all have their own perspectives, so we are always looking at the latest trends in value, growth, and momentum to find strong picks.Looking at the history of these trends, perhaps none is more beloved than value investing. This strategy simply looks to identify companies that are being undervalued by the broader market. Value investors use a variety of methods, incl ...

Lufthansa (LHA) share price has struggled in the past few years, making it one of the worst-performing airline companies. After peaking at €20.74 in 2018, the stock has retreated by 65%, giving it a market cap of over €8.8 billion.Competition and low returnsCopy link to sectionLufthansa Group is one of the biggest airlines in the world. It operates in three segments: Network Airlines, Eurowings, and aviation services. For example, its aviation services segment is broad and includes segments like catering an ...

Deutsche Lufthansa AG (OTCQX:DLAKF) Q3 2023 Results Conference Call November 2, 2023 5:00 AM ET Company Participants Dennis Weber - Investor Relations Carsten Spohr - Chief Executive Officer Remco Steenbergen - Chief Financial Officer Conference Call Participants Jaime Rowbotham - Deutsche Bank James Hollins - BNB Paribas Jarrod Castle - UBS Muneeba Kayani - Bank of America Stephen Furlong - Davy Research Harry Gowers - JPMorgan Sathish Sivakumar - Citi Sandra Hadiza - HSBC Neil Glynn - Air Control Tower Co ...

Financial Data and Key Metrics Changes - The Lufthansa Group achieved an adjusted EBIT of €1.1 billion for Q2 2023, marking the highest second quarter results in the company's history [5][27] - Group revenue totaled €9.4 billion, with net income reaching €881 million, supported by lower financial expenses [5][27] - Operating cash flow was €3.1 billion, driven by strong operating results and good working capital management [38] Business Line Data and Key Metrics Changes - All passenger airlines within the group reported profitability, with adjusted EBIT for passenger airlines amounting to €965 million [28] - SWISS recorded an operating margin of almost 18%, while Lufthansa Airlines and Austrian Airlines generated double-digit margins [28] - Lufthansa Technik generated a record second quarter adjusted EBIT of €156 million, benefiting from increased maintenance needs across the global airline industry [34] Market Data and Key Metrics Changes - The group welcomed 33 million passengers, with yields up 13% from the previous year and 25% higher than in 2019 [5][29] - Seat load factors increased to over 83%, aligning with pre-crisis levels, resulting in unit revenues 25% above 2019 [30] - Business travel has recovered to more than 70% on transatlantic routes, with overall demand remaining strong [18] Company Strategy and Development Direction - The company is transitioning from an aviation group to an airline group, focusing on core airline business and reducing organizational complexity through divestments [6][9] - Recent M&A activities include the sale of LSG Group and AirPlus, as well as acquiring a 41% stake in ITA Airways [7][9] - The company aims to enhance its international presence, with only about 30% of turnover coming from Germany [11] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the strong demand for travel, with current bookings for Q3 and the rest of the year exceeding 90% of pre-crisis levels [17] - The company anticipates a significant efficiency increase starting in 2024, with plans to introduce 15 additional long-haul aircraft [14] - Management highlighted ongoing challenges such as supply chain issues and staff shortages but remains optimistic about future performance [15][25] Other Important Information - The company is investing €2.5 billion in product and service quality improvements by 2025, alongside a fleet modernization program [19][21] - Sustainability initiatives include offering green fares that offset individual flight-related CO2 emissions, with nearly 300,000 guests opting for them since February 2023 [22] - The company expects adjusted EBIT for 2023 to be at least €2.6 billion, with a strong outlook for the third quarter [46][49] Q&A Session Summary Question: Update on M&A and Lufthansa Technik - Management indicated no new updates on Lufthansa Technik, emphasizing the sufficiency of recent transactions [56][58] Question: Concerns about EU ETS expansion - Management expressed concerns about the financial impact of potentially extending ETS to long-haul flights but believes regulators understand the negative implications for European competitiveness [57][60] Question: Pilot wage increases and cost implications - Management provided details on pilot salary increases, estimating an additional €77 million in costs for 2024 due to the new agreement [63][65] Question: Engine issues and fleet management - Management discussed the need to ground certain engines for maintenance, with sufficient backup available to manage operations [68][70] Question: EU ruling on state aid and airport fees - Management is appealing the EU ruling on state aid for legal clarity, noting that airport fees in Frankfurt are expected to increase in the high single digits [74][76] Question: Unit cost guidance for 2024 - Management expressed confidence in declining unit costs for 2024, driven by increased capacity and improved productivity [78][81] Question: Tariffs and passenger yield sustainability - Management indicated strong yields, particularly in intercontinental travel, and expects this trend to continue into 2024 [86][87]

lufthansagroup.com Second Quarter 2023 Results Carsten Spohr, CEO Remco Steenbergen, CFO Frankfurt, 3 August 2023 lufthansagroup.com Second Quarter 2023 Results Carsten Spohr, CEO Frankfurt, 3 August 2023 Record second quarter forms the basis for a successful year Revenues Passengers Adjusted EBIT 33m EUR 9.4bn EUR 1.1bn +17% vs. 2022 +14% vs. 2022 | --- | --- | --- | |-------|---------------------|-----------| | | | | | | Operating Cash Flow | Net CAPEX | Page 3 Significant progress in the transformation i ...