FRANKFURT (Reuters) – Germany’s Lufthansa gave an upbeat forecast for the air travel market on Thursday, saying it expected air travel demand to remain strong, with high average yields.
It plans to offer around 80% of its pre-pandemic capacity at its airlines in the fourth quarter, which should help it achieve a quarterly operating profit, it said as it published full quarterly financial results.
Consumer demand for travel in Europe is holding up with consumers willing to pay higher fares, according to recent statements by airlines including Ryanair and easyJet.
Lufthansa said on Thursday that the continued high premium demand from leisure travellers was especially remarkable, with load factors in Business and First Class exceeding pre-pandemic levels. Its yields, a metric of profitability, jumped by 23% in the third quarter versus 2019, reaching a new record.
Lufthansa last week raised its forecast for full-year adjusted operating profit to over 1 billion euros ($980.40 million), boosted by strong demand for air travel that continued its post-COVID recovery.
($1 = 0.9930 euros)
(Reporting by Ilona Wissenbach; Writing by Maria Sheahan, Editing by Kirsti Knolle)
