Finnair operating profit lags forecast in second quarter
Finnair Second Quarter Financial Results and Outlook
July 22 (Reuters) - Finnish airline Finnair reported a comparable operating profit below analyst expectations for the second quarter on Wednesday, but said travel demand remained healthy throughout the quarter.
Quarterly Performance Overview
Operating Profit Growth
• April–June comparable operating profit rose to €78.4 million ($89.45 million) from €10.3 million a year earlier, when industrial action weighed on earnings.
Analyst Expectations
• Analysts on average had expected a profit of €84.6 million in a poll provided by Finnair.
Key Factors Impacting Performance
Fuel Price Uncertainty
CEO Statement
• "Fuel remains one of the key uncertainties for the remainder of the year, both through its impact on costs and through potential disruptions affecting global fuel supply chains," CEO Turkka Kuusisto said in a statement.
Updated Guidance and Projections
Revenue and Operating Result Outlook
• The carrier revised its full-year revenue guidance and said it now projected it to be €3.4 billion–€3.5 billion in 2026, up from €3.3 billion–€3.4 billion seen previously.
• Comparable operating result projection remains at €120 million–€190 million.
• Guidance is based on the assumption that there will be no significant disruptions in fuel availability.
Additional Information
Exchange Rate
($1 = 0.8764 euros)
(Reporting by Elviira Luoma, editing by Terje Solsvik)
