Lufthansa achieved a record first quarter

[Rez O. Lewshun]

How is it LH can make cash?

I thought oil was more expensive in the Old Country...

The Lufthansa group has announced that it achieved a record operating result for a first quarter. The figure of €188 million includes CHF 91 million listed by Swiss for its own first quarter earnings before interest and taxes.
Lufthansa group’s revenues grew to 19 per cent over the same quarter last year to nearly €5.6 billion with total traffic revenue increasing 25.2 per cent to €4.466 billion.
Lufthansa’s Chairman and CEO, Wolfgang Mayrhuber described the figures as “an excellent take-ff into 2008”.

 

[Sunnfun]

How is it LH can make cash?

I thought oil was more expensive in the Old Country...

It's kinda hard to not make a profit when your revenues grow 19%... And the revenue grows if you have a good product. The addition of Swiss apparently made a good product even better.

 

[d328pilot]

We have been doing well in Japan too. Having a revenue stream that is not in US Dollars is key as it helps to offset the rise in oil prices. Plus we are 100% hedged too which helps a little.

 

[milflyboy]

Cathay had a record 1st quarter also

 

[Dumb Pilot]

Mind you. some of the airlines mentioned have the highest paid crews on the planet

 

[Sunnfun]

Mind you. some of the airlines mentioned have the highest paid crews on the planet

I think that is an essential part of having a good product.

 

[Whiskey Tango]

Fuel has not risen as much for the carriers that make money in Euros. Oil is traded in Dollars so the run up in oil if mostly offset by the devaluation of the Dollar.

 

[Sunnfun]

Fuel has not risen as much for the carriers that make money in Euros. Oil is traded in Dollars so the run up in oil if mostly offset by the devaluation of the Dollar.

You can thank the US Government for that (Keywords Bomb Iran and NYMEX). Plus the US Airlines seem to have used their non-USD revenues for management bonuses instead of fuel purchases... They still have some customers who pay in euro, yuan, peso, dinar, pound, real, franken, franc etc. after all... As unbelievable as that might sound.

 

[Cpt. Underpants]

Mind you. some of the airlines mentioned have the highest paid crews on the planet

...and some of the airlines mentioned have the lowest paid EXECUTIVES.

Thank the US Greed Corporate Culture for a significant part of your woes, I think.