CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 80.96% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
Open platformOpen platform

Air France-KLM returns to profit growth in Q3; raises FY fuel cost forecast

By Reuters News


Overview

  • France-Netherlands airline group's Q3 revenue rose 7.6% yr/yr to €9.9 bln

  • Adjusted operating profit increased to €1,346 mln, returning to growth as revenue growth offset higher fuel costs

  • KLM announced new structural measures to improve operational and financial performance


Outlook

  • Air France-KLM expects FY 2026 capacity up by about 2% versus 2025, revised from +2% to +3%

  • Company forecasts FY 2026 unit cost up about 1%, including 0.5% from premiumization (previously 0% to +2%)

  • FY 2026 fuel bill expected at USD 9.2bln, up from previous USD 8.9bln guidance


Result Drivers

  • RESILIENT TRAVEL DEMAND - Co said strong demand for travel across key markets drove unit revenue growth in both Passenger and Cargo businesses

  • PREMIUMIZATION - Co attributed higher yields and unit revenue growth to continued focus on premium cabins and services

  • COST DISCIPLINE - Co said strict cost management kept unit costs stable despite higher fuel prices and premiumization


Company press release:


Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

Q3 Revenue

EUR 9.92 bln

Q3 Net Income

EUR 938 mln

Q3 Operating Margin

13.60%


Analyst Coverage

  • The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 4 "strong buy" or "buy", 11 "hold" and 4 "sell" or "strong sell"

  • The average consensus recommendation for the airlines peer group is "buy."

  • Wall Street's median 12-month price target for Air France KLM SA is €12.15, about 7.8% above its November 4 closing price of €11.28

  • The stock recently traded at 3 times the next 12-month earnings vs. a P/E of 3 three months ago


Reuters Recommended Reads

  • Nov 5 - KLM sees 1,000 fewer jobs in push to restore profitability

  • Nov 3 - Lufthansa cuts 2026 outlook as jet fuel bill hits €9.3 billion

  • Nov 2 - Ireland's Ryanair H1 profit falls 15% as fuel costs rise


For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.


(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)

Capital.com is an execution-only brokerage platform and the content provided on the Capital.com website is intended for informational purposes only and should not be regarded as an offer to sell or a solicitation of an offer to buy the products or securities to which it applies. No representation or warranty is given as to the accuracy or completeness of the information provided.

The information provided does not constitute investment advice nor take into account the individual financial circumstances or objectives of any investor. Any information that may be provided relating to past performance is not a reliable indicator of future results or performance.

To the extent permitted by law, in no event shall Capital.com (or any affiliate or employee) have any liability for any loss arising from the use of the information provided. Any person acting on the information does so entirely at their own risk.

Any information which could be construed as “investment research” has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication.