Home News Profits drop by record 64% at Air France-KLM

Profits drop by record 64% at Air France-KLM

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Strikes had estimated negative impact of €416 million

The recent 14-day strike by pilots and overcapacity in the market have dented profits at Air France-KLM. The legacy carrier reported operating profit dropped by a record 64% to €247 million for the third quarter.

Revenues fell by 6.7% to €6.7 billion and the company estimated that the pilot strike had had a negative impact of €416 million.

Passenger revenue on the long-haul network was affected by industry overcapacity, and the airline group also said that operations in Latin America had been hit by “lower economic growth in several markets”. The company also unveiled a new strategic plan called Perform 2020 during the period and vows to continue slashing costs.

TTG Digital

[photo courtesy Air France]

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