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FRANKFURT (Reuters) - German airline Lufthansa on Sunday lowered its profit outlook for 2019, citing intense price competition from low-cost rivals in Europe.
The group's adjusted margin for earnings before interest and tax (EBIT) was forecast between 5.5% and 6.5%, down from 6.5% to 8% previously, Lufthansa said in a statement.
This would entail pretax EBIT between 2 billion euros (1.8 billion pounds) and 2.4 billion euros compared with the previously targeted 2.4 billion euros to 3 billion euros, it said.
"Yields in the European short-haul market, in particular in the group's home markets, Germany and Austria, are affected by sustained overcapacities caused by carriers willing to accept significant losses to expand their market share," it said.
The group's adjusted margin for earnings before interest and tax (EBIT) was forecast between 5.5% and 6.5%, down from 6.5% to 8% previously, Lufthansa said in a statement.
This would entail pretax EBIT between 2 billion euros (1.8 billion pounds) and 2.4 billion euros compared with the previously targeted 2.4 billion euros to 3 billion euros, it said.
"Yields in the European short-haul market, in particular in the group's home markets, Germany and Austria, are affected by sustained overcapacities caused by carriers willing to accept significant losses to expand their market share," it said.