Air France-KLM issues third profit warning this year

KLM flightDutch-French airline KLM-Air France issued a third profit warning on Thursday, saying it expects pre-tax and interest earnings to be €200m lower than stated at its previous revision in October.

KLM said at the beginning of this year it expected its ebitda earnings to be €2.5bn, but reduced this to €2.2-€2.3bn in July and again by €500m in October, because of the impact of the pilots strike.

The new downward revision is due to continuing losses on long-haul flights and the continuing impact of the pilots strike. In addition, the airline cannot fully benefit from falling oil prices because of long-term fuel contracts, KLM said.

According to Bloomberg, KLM will also push back planned plane deliveries in an effort to contain costs.

Thank you for donating to DutchNews.nl.

We could not provide the Dutch News service, and keep it free of charge, without the generous support of our readers. Your donations allow us to report on issues you tell us matter, and provide you with a summary of the most important Dutch news each day.

Make a donation