Air France-KLM posts better-than-expected 3Q earnings

15:31 | 31/10/2012
Air France-KLM reported on Wednesday that it had exceeded third-quarter expectations with a net profit of 308 million euros ($399 million) owing to higher passenger traffic and favourable exchange rates.

The Franco-Dutch group said operating profit was 506 million euros for the third quarter and turnover was up 6.0 percent to 7.2 billion euros.

Net profit rose to 306 million euros and the net debt was reduced.

Analysts interviewed by DowJones Newswires had forecast net profits of 267 million euros.

The company said the third quarter was "satisfactory" in all spheres excepting the cargo business.

"In passenger, the limited capacity increase in the industry led to an improvement in unit revenues, which, for the group, were also helped by a positive foreign exchange effect due to the depreciation of the euro versus other currencies," a statement said.

"The group enjoyed a good summer season in its passenger business, with traffic up by 0.9 percent," it said.

Air France-KLM was more than 957 million euros in the red in the first nine months of the year.

AFP

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