DLAKF - Deutsche Lufthansa AG (DLAKF) Q4 2023 Earnings Call Transcript
2024-03-07 13:46:12 ET
Deutsche Lufthansa AG (DLAKF)
Q4 2023 Earnings Conference Call
March 07, 2024 06:30 AM ET
Company Participants
Dennis Weber - Head of Investor Relations
Carsten Spohr - Chief Executive Officer
Remco Steenbergen - Chief Financial Officer
Conference Call Participants
Harry Gowers - JPMorgan
Jaime Rowbotham - Deutsche Bank
Tobias Fromme - Bernstein
Stephen Furlong - Davy Research
Muneeba Kayani - Bank of America
James Hollins - BNB Paribas
Ruairi Cullinane - RBC Capital Markets
Sandra Hadiza - HSBC
Neil Glynn - Air Control Tower
Andrew Lobbenberg - Barclays
Johannes Braun - Stifel
Sathish Sivakumar - Citi
Jarrod Castle - UBS
Presentation
Operator
Ladies and gentlemen, welcome to the Lufthansa Group Annual Report 2023 Conference Call. I'm Morris, the Chorus Call operator. I would like to remind you that all participants will be in a listen-only mode, and the conference is being recorded. The presentation will be followed by a question-and-answer session. [Operator Instructions] The conference must not be rerecorded for publication or broadcast.
At this time, it's my pleasure to hand over to Dennis Weber, Head of Investor Relations. Please go ahead, sir.
Dennis Weber
Yes. Thank you, and good afternoon ladies and gentlemen. Welcome to the presentation of our full year results 2023.
With me on the call today are our CEO, Carsten Spohr; and our CFO, Remco Steenbergen, who will present you our results and discuss our commercial and strategic outlook for the year ahead. Afterwards, you will have the opportunity to ask your questions. Similar to prior quarters, I would like to ask you to limit your questions to two so that everybody has a chance to participate in the Q&A session.
Thank you. Carsten, over to you.
Carsten Spohr
Thank you very much, Dennis, and a warm welcome from my side to all of you to a special day once again. And let me start by saying that after four very difficult years, today we are once again able to present an outstanding result. And honestly, even with all the years in the industry, I never thought we would reach this point again so quickly.
Last year €1.5 billion were already a surprising achievement and the fact that we have now almost doubled this figure and are now back on solid economic grounds is an outstanding team effort by all the employees at the Lufthansa Group. We now again look to the future with confidence and focus on achieving the ambitious goals we have set ourselves.
It's no secret that we would have liked and, especially, I personally would have liked to continue relying on Remco's expertise however he would like to move outside the Lufthansa Group and back to Switzerland again. Anyone as you know who masters the finances that Lufthansa is a top manager in high demand in many other industries and especially in pharma, as I learned and we have been through it before, and we take it just as a compliment.
The analysts the investors today represent the most impressive proof that Lufthansa is back, the third best financial results in our company's history. For the first time, all our airlines with the exception of CityLine were profitable. Austrian Airlines, Brussels Airlines, Discover, Eurowings and Swiss even achieved record results as did Lufthansa Technik. Lufthansa Group's revenue reached €35.4 billion, 15% more than in the previous year.
Group adjusted EBIT rose to €2.7 billion, equaling a margin of 7.6% very close to our margin target of 8%, which remained firmly focused. With an adjusted ROCE of 13.1%, we were able to achieve our target of a ROCE of over 10% a year earlier than planned....
Deutsche Lufthansa AG (DLAKF) Q4 2023 Earnings Call Transcript