Air France-KLM Reports Quarterly Profit Surge with 13.7% YoY Revenue Growth

Air France-KLM, the Franco-Dutch airline group, experienced a remarkable surge in quarterly profit, driven by a notable rise in passenger numbers. During the second quarter of 2023, the company witnessed a substantial 13.7% year-on-year increase in revenue, reaching an impressive €7.62 billion. The operating profit exceeded expectations, standing at a solid €733 million. Most strikingly, the net profit nearly doubled, soaring to €604 million from last year’s €324 million during the same period.

One of the key factors behind this positive performance was the airline’s ability to accommodate 24.7 million passengers between April and June 2023. The second-quarter capacity reached an impressive 92% of the 2019 levels, signaling a gradual recovery from the challenges posed by the pandemic. Air France-KLM remains optimistic about the rest of the year, expecting its capacity to hover around 95%.

Benjamin Smith, CEO of Air France-KLM, expressed his satisfaction with the improving situation at airports, particularly at Amsterdam Schiphol Airport during this summer. He sees this season as a crucial test for 2024, as France will host the Paris 2024 Olympic and Paralympic Games, where Air France is an official partner.

The group also demonstrated prudent financial management, generating an adjusted free operating cash flow of €557 million. This approach allowed Air France-KLM to significantly reduce its net debt by an impressive €1.4 billion compared to the end of 2022, bringing the debt down to €4.9 billion by the end of June.