Part_Time_Joe @Part_Time_Joe: "+++ 𝐋𝐮𝐟𝐭𝐡𝐚𝐧𝐬𝐚 𝐚𝐧𝐧𝐨𝐮𝐧𝐜𝐞𝐬 𝐜𝐨𝐬𝐭 𝐬𝐚𝐯𝐢𝐧𝐠..."

Germany

+++ 𝐋𝐮𝐟𝐭𝐡𝐚𝐧𝐬𝐚 𝐚𝐧𝐧𝐨𝐮𝐧𝐜𝐞𝐬 𝐜𝐨𝐬𝐭 𝐬𝐚𝐯𝐢𝐧𝐠 𝐩𝐫𝐨𝐠𝐫𝐚𝐦𝐦𝐞 +++ Dear fellow investors, Lufthansa, having previously shared preliminary details for Q2, has now published the complete Q2 report, providing additional insights into the future: 🔝 Adjusted EBIT of EUR 686 million in the second quarter of 2024 (previous year: EUR 1.1 billion). Decrease driven 🔝 Main Driver: Increased competiton, decreased ticket prices, strike of personnel (-500 mio.), lower demand for business travel, delivery delays of new planes 🔝 Passenger-Volume +8% (~36 mio.) 🔝 Announcement of a cost-saving program: Enhancing product quality and reducing the number of flights offered to stabilize prices. The detailed release arrived without any surprises, as most of the information was already known. Airlines worldwide are grappling with the same adverse conditions, which is evident in the disappointing earnings releases from not just Lufthansa, but also Ryanair and Air France-KLM. Lufthansa CEO Carsten Spohr's new strategic directive, "Quality before Growth," may not produce immediate results but is aimed at long-term benefits. Despite this, enhancing customer experience is overdue. There has been a rise in negative feedback regarding Lufthansa's product quality, and the airline is increasingly lagging behind its direct competitors. 🔎 𝐌𝐲 𝐓𝐚𝐤𝐞: In the short to medium term, the situation is expected to remain challenging. Lufthansa has already reduced its full-year guidance, and I do not anticipate any significant positive surprises. However, the current valuation already reflects many, if not all, of the existing difficulties. Therefore, I will maintain my investment and see no current need for changes. $LHA.DE (Deutsche Lufthansa Aktiengesellschaft) (Deutsche Lufthansa Aktiengesellschaft) $DAL (Delta Air Lines Inc (DE)) (Delta Air Lines Inc (DE)) $UAL (United Airlines Holdings Inc) (United Airlines Holdings Inc) $GER40 $RYAAY (Ryanair Holdings plc-ADR) $AF.PA (Air France-KLM) ✨ Last but not least, welcome @Alexpb41! Glad to have you as a follwer! ✨ Best, Part_Time_Joe