Lufthansa Technik expects massive drop in revenue after record year 2019

Low pressure turbine installation ©LHT

Lufthansa Technik AG continued on its growth path in the past financial year and closed 2019 with record revenue and earnings.

Revenue rose by 13% to €6.9 billion. Earnings before interest and taxes (adjusted EBIT) grew by around eleven percent to €493 million. The extent of the effects of the worldwide aviation crisis affecting Lufthansa Technik cannot yet be concretely foreseen, but the impact is already massive.

Dr. Johannes Bussmann, Chairman of the Executive Board, said: “With the outbreak of the corona crisis, nothing is the same as it was just a few weeks ago. The maintenance industry is already suffering from the decline in air traffic. The full extent will hit us with a delay, which means a forecast is currently not possible, but first impacts are massive. Everything depends on the duration of the crisis and how our customers will recover from it. We have prepared ourselves with a very comprehensive package of measures – also, to be able to deliver at any time. Especially now, our customers need a reliable technical partner.”

Over the past five years, Lufthansa Technik AG’s revenue has grown by almost 60%. In the last financial year alone, the company acquired 25 new customers and signed 625 contracts with new business worth €4.1bn. Compared to 2018, investments increased by 28% from €244 million to €313 million. On annual average, in 2019 Lufthansa Technik employed almost 26,000 people worldwide. (€1.00 = US$1.07 at time of publication.)

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