Lufthansa Expects Q3 US Flight Demand Slowdown After Summer Peak

Germany's Lufthansa is anticipating a decline in demand for flights to the United States in the third quarter following a strong summer season, according to CEO Carsten Spohr. While the first quarter outperformed the previous year, demand is expected to level off as the year progresses. The airline group, which includes Austrian Airlines, Brussels Airlines, Swiss, and ITA Airways, operates 60 daily flights to the U.S. The anticipated drop in demand is partially offset by increased demand for flights originating from the U.S., where ticket prices tend to be higher, prompting Lufthansa to increase seat sales in the local U.S. market. Additionally, Lufthansa's ongoing restructuring efforts are progressing well and are projected to contribute around 1.5 billion euros ($1.73 billion) in gross profit by 2026.