Shares of Air France-KLM Group (AFRAF.PK) were losing around 4 percent in the early morning trading in Paris after the French airline reported Tuesday wider net loss in its first quarter, despite increased revenues.
Looking ahead for fiscal 2024, the capacity in Available Seat Kilometers for Air France-KLM Group including Transavia is expected to increase by 5 percent in 2024 compared to 2023.
The company, comprising Air France, KLM and Transavia, reported that its first-quarter net loss - Group part was 522 million euros, compared to last year's loss of 344 million euros.
Operating result was negative 489 million euros, wider than last year's loss of 306 million euros, impacted by disruption costs and weaker cargo revenues.
EBITDA fell 38 percent to 176 million euros from 286 million euros a year earlier.
Group revenues, however, increased 5.1 percent to 6.65 billion euros from last year's 6.33 billion euros. Revenues went up 6.2 percent on a constant currency basis.
In the first quarter 2024, Air France-KLM welcomed 20.9 million passengers, 6.2 percent above the previous year. As capacity increased by 4.5 percent and traffic grew by 5.0 percent, the load factor was slightly up 0.4 point compared to last year at 86 percent.
Group Passenger unit revenue went up 2.1 percent compared to last year
The increase was driven by an increase in yield across all long-haul areas except for Asia & Middle East, where capacity grew by 32 percent while Short & Medium-haul yield increased as well.
Benjamin Smith, Group CEO, said, "Despite a challenging start to the year with persistent geopolitical tensions, Air France-KLM recorded further revenue growth this quarter, capitalizing on a structurally robust travel demand.... We nonetheless remain confident in our ability to achieve our 2024 unit cost outlook.. . Finally, we are actively gearing up for a promising summer season with, in Paris, the eagerly-awaited Olympic and Paralympic Games."
In Paris, Air France-KLM shares were trading at 9.69 euros, down 3.73 percent.
For more earnings news, earnings calendar, and earnings for stocks, visit rttnews.com.
For comments and feedback contact: editorial@rttnews.com
Business News