Lufthansa Group reported record third-quarter revenue of €12.2 billion, up 9% from a year earlier, and adjusted EBIT of €1.4 billion. Earnings per share came in at $1.18, beating the $0.7389 analyst estimate, while reported revenue of 13.71 billion was below the 14.55 billion forecast. The figures were presented in different currencies in the results summary.
The group said resilient demand across its passenger airlines, cargo and maintenance businesses supported the quarter. Network Airlines revenue increased 5%, while Lufthansa Cargo more than tripled adjusted EBIT and Lufthansa Technik recorded strong double-digit revenue growth. Flight-related ancillary revenue rose by more than 20%.
Adjusted EBIT was up €76 million year on year despite fuel costs increasing by €543 million, or 27%. The adjusted EBIT margin was 11.5%, down 0.4 percentage points from the same quarter last year. Network Airlines kept non-fuel unit cost growth to 0.5%.
Chief Executive Carsten Spohr said the company was increasingly able to reflect higher fuel costs in fares, supported by improved customer offerings and a better balance between supply and demand. The group said regional revenue per available seat kilometer at its Network Airlines rose by more than 5%, while capacity increased by 1.6%.
Lufthansa narrowed its 2026 adjusted EBIT guidance to a range of €1.7 billion to €2.0 billion. It expects a full-year fuel bill of about €9.3 billion, including a positive hedging result of roughly €1.9 billion. For the fourth quarter, the company expects regional RASK growth in the low double digits and total RASK growth in the teens.
The company reported liquidity of €11.8 billion at September 30 and net financial debt of €5.9 billion, down from €6.4 billion at the end of 2025. Adjusted free cash flow for the first nine months was €1.8 billion, broadly in line with the year-earlier period.
Management said it plans to direct more growth toward intercontinental flights in 2027, with continental capacity broadly flat, and expects mid-single-digit growth in available seat kilometers. It also expects the acquisition of a 49% stake in ITA Airways to be completed in the first quarter of 2027 and plans to sign its TAP Air Portugal transaction in Lisbon.
Lufthansa shares were last up 2.85% at $8.29, near the lower end of their 52-week range of $7.82 to $11.53. Management cited fuel prices, aircraft delivery delays and strike-related costs among the challenges facing the business.
Sources: Investing.com News.