Summary
- Brussels Airlines is confident about its future prospects, with an 87% improvement in returns quarter to quarter and a record-breaking second quarter.
- The airline has seen a 54% growth in total operating income in comparison with the identical period last 12 months, and its earnings before interest and taxes have improved significantly.
- Brussels Airlines has achieved this growth through improved operational performance, including increased flights and passengers, in addition to investments in recent aircraft and passenger experience enhancements.
Brussels Airlines of the Lufthansa Group is on the upswing halfway thru 2023. Although the airline didn’t enter the black after earnings before interest and taxes (EBIT), Brussels Airlines voiced confidence in regards to the future with an 87% improvement in returns quarter to quarter.
Great confidence of the Chief Financial Officer
For Brussels Airlines’ Chief Financial Officer Nina Oewerdieck,
“The outcomes of our first semester of 2023 are completely in keeping with our expectations. In 2022, we communicated historically high third trimester results. This 12 months, I’m proud to see that we already delivered a record within the second quarter. This inspires us great confidence to succeed in solid black results for your entire 12 months of 2023.”
Indeed, the nice confidence could possibly be well placed. First, the primary half of 2023 versus 2022 in Euros has €705 million versus €452 million total in revenue. Moreover, there was €261 million or 54% growth in total operating income to €744 million versus 2022.
Moreover, the earnings before interest and taxes (EBIT) has gone from -€89 million to -€13 million – almost within the black. One can see more details from Brussels Airlines below:
Graphic: Brussels Airlines
Brussels Airlines is having fun with this fiscal growth because of latest investments alongside improved operational performance and returns. So let’s put words with numbers.
Improved operational performance
For Brussels Airlines, the primary half of 2023 has include dramatically improved operational performance. As an example, the airline flew 30,346 flights and three.952 million passengers in the primary half of 2023 versus 22,597 flights and a pair of.727 million the previous 12 months.
Photo: Tom Boon | Easy Flying
Brussels Airlines completed this partially because of higher demand and recent investments like two wet-lease aircraft in Bombardier CRJ-900s plus adding two medium-haul aircraft in A320neos to the fleet with three more intended. Other investments for improving the passenger experience include Brussels Airlines joining the ranks of airlines offering courses to beat the fear of flying. As if this was insufficient, adapting a ‘special meals’ for passengers with dietary restrictions or religious considerations option plus an upgrade option throughout the online or mobile check-in process.
The very fact the airline is just not fully profitable yet in 2023 is due also to economic inflation plus higher airport fees. The Icelandic low-cost airline PLAY Airlines has an analogous financial story.
Second quarter comes with profits and green fares
A minimum of for the second quarter, profits were posted not only by Brussels Airlines but by the entire Lufthansa Group. The truth is, pre-tax earnings were a record for Lufthansa Group where Lufthansa Group CEO Carsten Spohr gave credit to the staff:
“Whether on the bottom, within the cockpit, within the cabin or in our maintenance hangars, it was our employees worldwide who made reliable flight operations and the financially best second quarter in our history possible. Our clear give attention to stability has proven to be the appropriate selection for our customers, our employees and our shareholders.”
Photo: Brussels Airlines
Moreover, a brand new fare collection option has helped. Within the second quarter of 2023, Brussels Airlines finally joined the remaining of Lufthansa Group in offering ‘green fares’. In keeping with a Brussels Airlines June 1 statement, since booking a green fare became available in mid-February, in the primary 100 days since its introduction, around 200,000 guests have already opted for a Green Fares flight inside Europe or to North Africa, thus contributing to more sustainable flying. The sustainability a part of “Green Fares” is 20% from Sustainable Aviation Fuel (SAF) and 80% from contributing to high-quality climate protection projects.
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