Annual Results 2016

Lufthansa Group successfully on track – 2016 again with good result

“The Lufthansa Group continues to develop successfully,” says Carsten Spohr, Chairman of the Executive Board & CEO of Deutsche Lufthansa AG. “We are again in a stronger position today than we were a year ago. And once again we were able to convince our customers of the quality and the appeal of our products and services.”

“In a very demanding market environment,” Spohr adds, “we successfully kept the Lufthansa Group’s margins at their record prior-year levels, through consistent capacity and steering measures and, above all, through our effective cost reductions. Based on this good financial development, all our business segments developed positively in their respective markets. And by expanding our commercial joint ventures for the Network Airlines, fully acquiring Brussels Airlines and concluding the comprehensive wet-lease agreement with Air Berlin we have also strengthened our strategic position.” 

“In 2017,” Spohr continues, “it remains necessary to further reduce our costs. This is the only way to meet and master the decline in unit revenues and the higher fuel expenses, and at the same time to maintain and strengthen our financial stability and our investment capacities.”

“The key financial indicators for the Lufthansa Group prove our financial strength and our sound business performance,” adds Ulrik Svensson, Chief Officer Finance of Deutsche Lufthansa AG. “The change in the pension system for our cabin crews, which we now also agreed on for our cockpit crews, has had a sustainable positive effect, strengthening our balance sheet and making us less dependent on volatile interest rate developments. This shows how important it is to have viable and forward-looking collective labor agreements.”

 

The Lufthansa Group

   January - December 4th Quarter
    2016 2015 Change 2016 2015 Change

Total revenue

EUR m 31,660 32,056 -1.2% 7,790 7,752 +0.5%

of which traffic revenue

EUR m 24,661 25,506 -3.3% 5,987 6,020 -0.5%

EBIT

EUR m 2,275 1,676 +35.7% -55 13 --

Adjusted EBIT1)

EUR m 1,752 1,817 -3.6% 75 124 -39.5%

Adjusted EBIT margin

5.5% 5.7% -0.2 pts 1.0% 1.6% -0.6 pts

Net profit for the year

EUR m 1,776 1,698 +4.6% -75 -50 -50.0%

Capital expenditure

EUR m 2,236 2,569 -13.0%      

Cash flow from operating activities

EUR m 3,246 3,393 -4.3%      

Employees as of 31 December

  124,306 120,652 +3,654      

Earnings per share

EUR 3.81 3.67 +3.8% -0.16 -0.11 -45.5%

1) Including strike cost of 100 million EUR.