Lufthansa(US:DLAKY)2020-08-06 15:01Financial Performance & Impact of COVID-19 - Q2 2020 passenger numbers decreased by 99%[4], reflecting the near-complete standstill of business for Network Airlines[5] - Network Airlines experienced a 95.5% decrease in ASK (Available Seat Kilometers) and a 34.2 percentage points decrease in SLF (Seat Load Factor)[5] - Eurowings saw a 95% reduction in ASK and a 77 percentage points decrease in SLF during Q2 2020[9] - Adjusted EBIT declined by 90% in the first half of the year for Eurowings[10] - Lufthansa Group revenues decreased by 80.2% in Q2 2020 to EUR 1.894 billion[44] - The Group reported a net loss of EUR 1.493 billion for Q2 2020 and EUR 3.617 billion for the first 6 months[44] Cost Reduction & Cash Management - Airline fixed cash costs were reduced by 34% through measures like short-time work and project cancellations[11] - The Group's average monthly operating cash burn was approximately EUR 550 million in Q2 2020[11] - Gross investments decreased by 53%, with investments expected to be around EUR 1.3 billion in 2020 and a similar level in 2021[18] Restructuring & Future Outlook - The company aims to restore half of its capacity by year-end[37] - The company is targeting a 15% productivity increase to reach 2019 ASK levels by 2023[32] - The company plans to reduce its fleet by 100 aircraft and restructure its corporate headquarters[32]