- Lufthansa reported an adjusted EBIT of €871 million, which is a 27% increase compared to the same quarter last year and exceeded estimates of €801.4 million.
- The passenger airlines segment achieved an adjusted EBIT of €690 million, marking a 19% rise from the previous year, beating the forecasted €658.8 million.
- The adjusted EBIT margin improved to 8.4%, up from 6.9% year-over-year, surpassing the estimated 7.34%.
- Revenue totaled €10.32 billion, an increase of 3.1% from the previous year, though slightly below the expected €10.58 billion.
- Passenger airlines revenue reached €8.2 billion, compared to an estimated €8.38 billion.
- Net income significantly rose to €1.01 billion from €469 million the previous year, exceeding the €572.5 million estimate.
- Earnings per share (EPS) increased to €0.84 from €0.39 year-over-year, above the anticipated €0.52.
- Adjusted free cash flow fell by 76% year-over-year to €138 million.
- The available seat kilometers (ASK) were 90.21 billion, slightly missing the estimate of 90.70 billion.
- Seat load factor was 82%, just under the estimated 82.5%.
- Lufthansa served 37.10 million passengers, below the forecasted 37.82 million.
- Revenue seat-kilometers were 73.94 billion, short of the expected 74.50 billion.
- Despite global uncertainties, Lufthansa remains confident in its full-year forecast, anticipating adjusted EBIT to be significantly higher than last year’s €1.6 billion, with a projected capacity growth of around 4%.
- Lufthansa expects adjusted free cash flow to remain similar to last year’s level of €840 million.
- The company’s turnaround measures are projected to deliver a gross earnings impact of €1.5 billion by 2026, and €2.5 billion by 2028.
- Lufthansa Technik faced a 10% rise in expenses due to ongoing material shortages, US dollar exchange rates, and increased US tariffs, compared to the same period last year.
Deutsche Lufthansa on Smartkarma
Analyst coverage of Deutsche Lufthansa on Smartkarma has seen positive sentiment from Baptista Research. Their report, titled “Deutsche Lufthansa: Initiation of Coverage-Massive Turnaround Sparks Bold Profit Revival!” highlights the company’s Q1 2025 financial performance, showcasing challenges overcome in a complex operating environment. With revenues exceeding €8 billion, a 10% year-over-year increase, Lufthansa’s growth in a traditionally weak period for the airline industry is noteworthy. The surge in revenues was attributed to strong demand, capacity expansion, and higher yields, especially in the North Atlantic market.
A look at Deutsche Lufthansa Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 4 | |
| Dividend | 4 | |
| Growth | 5 | |
| Resilience | 3 | |
| Momentum | 4 | |
| OVERALL SMART SCORE | 4.0 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Analysts using Smartkarma’s Smart Scores have provided a positive outlook for Deutsche Lufthansa, with strong scores across key factors. The company scores high in terms of value and dividend, indicating good potential for investors looking for stable returns. Additionally, with a top score in growth, Deutsche Lufthansa is primed for expansion and increased market share in the future. While the resilience score is slightly lower, the overall momentum of the company is solid, showing consistent performance and investor interest.
Deutsche Lufthansa Aktiengesellschaft is a global provider of passenger and cargo air transportation services, operating flight routes across North America, Scandinavia, and Asia. Apart from its core services, the company also offers travel agency, catering, and aircraft maintenance services, catering to a diverse range of travel industry needs.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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