Air France-KLM closes a document yr, however the enhance in labor prices weighs closely | EUROtoday

Get real time updates directly on you device, subscribe now.

Record yr for the Air France-KLM group which closed 2023 with a turnover of 30 billion euros (+14%), an working revenue of 1.7 billion euros towards 517 million euros in 2022 in step with expectations and a optimistic web results of 934 million euros towards 206 million euros in 2022. The group's capability was 93% in comparison with 2019 earlier than Covid, however under the goal set at 95 %. The passengers transported amounted to 93.6 million, a rise of 12.5% ​​in comparison with 2022 and the load issue. the typical filling capability of plane stood at 87.3 %.

Geopolitical tensions and the rise in labor prices. solely partially offset by a drop in oil costs, they weighed on the fourth quarter of the Franco-Dutch group which reported a lack of 256 million euros in comparison with a revenue of 496 million euros in the identical interval of 2022.

For the present yr, the group doesn’t see a decline in demand for air journey, even when inflation continues to weigh on family spending. Flights to China are making a comeback, rising capability, which in response to the corporate will enhance by 5% in 2024. For the present yr the issue is not going to be the sale of tickets, however the lack of provide and out there seats.

Over the course of the yr, Air France-KLM repaid 1.3 billion euros as a part of money owed collected through the pandemic, bringing the remaining debt to five billion euros. Furthermore, after the extraordinary capital enhance, workers now personal 3% of the group's shares.

“We can be pleased with our efforts to further strengthen our balance sheet and restore the Group's equity,” Chief Executive Ben Smith stated in a press release.