German airline group Lufthansa Thursday reported its worst quarterly result in the company’s 67-year history while saying it does not expect air travel demand to return to pre-Covid-19 pandemic levels before 2024. The development reflects the mood in the overall aviation industry, with international air travel down to a trickle following a second wave of infections and the subsequent re-imposition of quarantine guidelines in various parts of the world, similar to what the UK has imposed on Spain.
The Geneva-based International Air Transport Association (IATA), which represents about 290 airlines comprising 82 per cent of global air traffic, has recently projected that global passenger traffic will not return to pre-Covid-19 levels until 2024, a year later than previously estimated.
The IATA expects air traffic will fall by 63 per cent in 2020 compared to 2019, triggering the worst financial performance in the history of commercial aviation at a loss of record $85 billion this year and in 2021 — nearly three times the losses after the 2008 economic slump.
What has Lufthansa said in its quarterly statement?
German airline group Lufthansa has reported a net loss of 1.49 billion euros ($1.77 billion) for the second quarter, Reuters reported. In normal times, summer represents the only profitable period for many carriers.
However, Lufthansa said it carried 96 per cent fewer