Air France-KLM posts better-than-expected second quarter

30th Jul 2026 10:41

(Sharecast News) - Air France-KLM reported a better-than-expected second-quarter operating profit on Thursday as strong demand for premium and long-haul travel helped offset higher fuel costs, although net profit fell sharply.

Adjusted operating profit declined to €484m from €735m a year earlier but beat consensus expectations of around €340m, while net profit dropped to €190m from €649m.

Revenue rose 9.9% to €9.28bn as passenger numbers increased 3.9% to 28.3m, with chief executive Benjamin Smith citing steady premium demand, particularly across Asian and North American markets.

The Franco-Dutch airline cut its 2026 capacity growth forecast to between 2% and 3%, with reductions expected primarily in the fourth quarter, while lowering its projected fuel bill by 4% to $8.9bn.

Air France-KLM also confirmed it had submitted a binding offer for a 44.9% stake in Portugal's TAP, competing with Lufthansa, with plans to make Lisbon its sole southern European hub if successful.

Smith said the group continued to expect "to navigate in a highly volatile environment".

At 1336 CEST (1236 BST), shares in Air France-KLM were up 3.25% in Paris at €12.23.

Reporting by Josh White for Sharecast.com.