My Account Menu

CAPA Login

Register to trial CAPA Membership!

Air France-KLM reports a "levelling-off" of yields


Air France-KLM reported a 4.8% increase in passenger traffic (RPKs) in Jan-2011 and a 1.1 ppts gain in load factor, although the figures were enhanced by favourable comparisons to Jan-2010, which was disrupted by snowfall and a two-day strike by air traffic controllers in France.

Crucially, the carrier noted that while unit revenues were "higher than last year", the airline saw "a levelling-off" in Jan-2011, adding that the geopolitical situation in a number of countries (Ivory Coast, Sahelian region, Tunisia and Egypt) is "weighing on revenues".

Air France-KLM noted its Asia network "remained dynamic", with traffic up 7.4% and capacity up 6.4%. Systemwide cargo traffic rose in line with capacity (by 3.4% and 3.3%, respectively), while cargo unit revenue was up compared with Jan-2010, "which already benefited from a more favourable operating environment".

The airline's shares were flat yesterday. Rival Lufthansa gained 1.4% following Monday's solid rise.

Selected European airlines daily share price movements (% change): 08-Feb-2011


Want more analysis like this? CAPA Membership gives you access to all news and analysis on the site, along with access to many areas of our comprehensive databases and toolsets.
Find out more and take a free trial.