Air France-KLM reports a 100% increase in net profit for the third quarter, reaching 931 million euros compared to 460 million euros in the same period last year. However, the results fell slightly below analyst forecasts. Find out more about the company’s performance and market reaction.
Air France-KLM has announced a significant increase in net profit during the third quarter, doubling its earnings compared to the same period last year. While the airline group’s financial performance showed impressive growth, it slightly missed analyst expectations.
According to the company’s press release, the net profit for July-September amounted to 931 million euros, a notable improvement from 460 million euros in the corresponding period the previous year. The operating profit also saw an increase, rising to 1.34 billion euros from 1.02 billion euros.
Revenue for the quarter surged by 6.8%, reaching 8.66 billion euros. The group transported 26.904 million passengers during the past quarter, a 7.6% increase from the same period in 2022. Flight occupancy rates rose to 89.7% from 88.4%.
In contrast to these positive figures, market analysts had anticipated slightly better results. Their consensus forecast projected revenue at 8.72 billion euros, net profit at 957 million euros, and an operating profit of 1.37 billion euros, as stated in the group’s own consensus forecast.
The company reaffirmed its forecast, which suggests that its operational capacity for this year will reach approximately 95% of the pre-pandemic 2019 level. In the third quarter, this figure stood at 94%.
Despite the strong financial performance, Air France-KLM’s stock prices fell by 5.5% at the start of trading on Friday. The market value of the airline has decreased by 15.5% since the beginning of the year, amounting to 2.85 billion euros. This is in contrast to the CAC 40 stock index, which has increased by 5.2% over the same period.
