Air France-KLM Narrows Loss, Cites Premium Travel Surge

Air France-KLM reduced its first-quarter net loss to €249 million ($283 million), marking an improvement of over €231 million from the previous year, aided by an 8% rise in revenue to €7.2 billion and a 4.5% increase in passengers to 21.8 million. The group cited strong premium demand, lower fuel costs, and operational savings as key drivers. Despite the improvement, Air France-KLM still posted an operating loss, though it was better than analysts had expected. The company is maintaining its 2025 full-year outlook, forecasting 4–5% capacity growth. Transatlantic business showed robust premium traffic but weaker economy sales, prompting selective price cuts. Ongoing challenges include airplane shortages and broader market uncertainties.