Lufthansa posts higher third-quarter profit but faces roughly €2 billion extra fuel bill this year

German airline group Lufthansa Group reported on Tuesday, 3 November, that its adjusted operating profit for the July–September quarter rose 6% year-on-year to €1.4 billion. The results were shaped by a jump in kerosene prices caused by the conflict in the Middle East, which will also push up costs for the full year.

Quarterly revenue grew 9% to €12.24 billion, the group's highest quarterly revenue on record. Fuel costs were €543 million higher than a year earlier. Chief executive Carsten Spohr said strong revenue and strict cost discipline allowed the company to more than offset the increase.

Mixed results across the group

SWISS, Austrian Airlines and Brussels Airlines all improved their quarterly results. The core Lufthansa airline, however, saw its adjusted operating profit fall by a third to €300 million. The group's results were largely supported by Lufthansa Cargo, whose adjusted operating profit more than tripled to €162 million, and by maintenance company Lufthansa Technik, which grew its profit by 54% to €200 million.

Over the first nine months, revenue rose 8%, while net profit fell 35%.

Cost cuts and outlook

To reduce costs, the company withdrew the 27 operational aircraft of its CityLine subsidiary from the schedule in April and later announced the cancellation of 20,000 short-haul flights through October, which it estimated would save about 40,000 tonnes of jet fuel. It also tightened spending on recruitment, internal events and external consultants, on top of an existing plan to cut 4,000 administrative jobs by 2030.

Chief Financial Officer Till Streichert said the full-year fuel bill is now forecast at €9.3 billion, compared with €7.27 billion in 2025, an increase of roughly €2 billion. Lufthansa has hedged 86% of its passenger airlines' 2026 fuel needs through financial contracts that lock in prices in advance, and more than 60% of 2027 needs.

The group now expects full-year adjusted operating profit of €1.7–2 billion, lowering the top of its earlier €1.7–2.2 billion range. The company's share price rose by more than 3% in early trading on Tuesday.