COVID-19 pandemic pushes Lufthansa to US$1.7 billion Q2 net loss

COVID-19 pandemic pushes Lufthansa to US$1.7 billion Q2 net loss

The spread of the coronavirus disease (COVID-19) in Germany
FILE PHOTO: Airplanes of German carrier Lufthansa are parked at the Berlin Schoenefeld airport, amid the spread of the coronavirus disease (COVID-19) in Schoenefeld, Germany, May 26, 2020. REUTERS/Fabrizio Bensch

BERLIN: Germany's Lufthansa said it does not expect air travel demand to return to pre-crisis levels before 2024 and posted a second-quarter loss of €1.5 billion (US$1.78 billion) as cost cuts failed to offset a steep decline in revenue.

The airline said on Thursday the collapse in demand for air travel due to the COVID-19 pandemic led to an 80 per cent drop in revenue to €1.9 billion compared to €9.6 billion a year earlier. It posted a net loss of €1.5 billion.

"We are experiencing a caesura in global air traffic. We do not expect demand to return to pre-crisis levels before 2024," chief executive Carsten Spohr said.

"We will not be spared a far-reaching restructuring of our business."

BOOKMARK THIS: Our comprehensive coverage of the coronavirus outbreak and its developments

Download our app or subscribe to our Telegram channel for the latest updates on the coronavirus outbreak: https://cna.asia/telegram

Source: Reuters

Bookmark