Despite a substantial operating loss (EBIT) of 612 million euros for the first three months of the year, the Lufthansa Group has little cause for concern.  Due to seasonally weaker demand in Europe, the first quarter is structurally loss-making for Europe’s largest airline group, the parent of Brussels Airlines. What’s more, the loss is 15% lower than in the same period last year.

For the full year of 2026, the company is expecting a 10% increase in profit compared to last year. For travelers, however, ticket prices are likely to rise slightly due to rising fuel prices caused by the crisis in the Middle East.

Higher profits thanks to war

The Lufthansa Group may even benefit from that war. There is even talk of “robust demand” as passengers are avoiding hubs around the Persian Gulf and opting for other hubs, including those operated by Lufthansa. Revenue rose by 8% in the first quarter to 8,75 billion euros.

Yet that war is also the main culprit: the geopolitical turmoil in the Middle East is making jet fuel significantly more expensive, which is weighing on costs. For all of 2026, Lufthansa estimates the fuel bill at nearly 9 billion euros, an additional cost of 1,7 billion euros. It also expects fuel availability to decrease later in the year, although it has hedged approximately 80% of its 2026 fuel requirements.

10% increase in operating profit

These higher costs naturally affect ticket prices and flight schedules. To cut costs, 20,000 flights had already been canceled through October. CEO Carsten Spohr also wants to raise ticket prices.

The financial outlook for Lufthansa, which also owns SWISS, Austrian Airlines, ITA Airways, and Eurowings, remains unchanged, with operating profit expected to be significantly higher than in 2025, normally at least 10% higher.

Almost 2 million passengers

At the subsidiary Brussels Airlines, the conflict between the U.S./Israel, and Iran also weighed on first-quarter results. For example, fuel costs per available seat-kilometer were approximately 14% higher than in the same period last year.

Brussels Airlines also posted an operating loss of 55 million euros – compared to 53 million euros in the same period last year. Overall, the airline operated 11% more flights (15,000) in the first three months, carrying 14,5% more passengers (1,88 million). Revenue rose by 12,8% to 343 million euros, but this was offset by higher costs (+11,5% to 417 million euros).

Demand remains high

January and February were strong months. Capacity was even 18% higher than last year, and demand remains high, with a clear focus on routes to Sub-Saharan Africa. However, the positive trend was interrupted in March, with growth of just 1%, due in part to a national labor strike that resulted in a loss of 1 million euros and, of course, the onset of tensions in the Middle East.

Brussels Airlines does not wish to make predictions for the summer months. However, the airline says it will be able to increase capacity on its European network due to flight cancellations to the Middle East and the early deployment of an Airbus A320neo.

Uncertainties, but profits on the horizon

For now, there are no plans to change the flight schedule, though the big question remains how long the Strait of Hormuz blockade will last. CEO Dorothea von Boxberg confirmed that Brussels Airlines has received assurances from its fuel suppliers regarding kerosene deliveries for the next 4 to 6 weeks. “Our partnership with our parent company Lufthansa, one of the largest kerosene consumers in Europe, has proven to be a major advantage for us in this regard,” says the CEO.

Von Boxberg calls travelers’ fears that flights might be canceled due to fuel shortages exaggerated. “There will always be a supply of fuel; in fact, due to the problems in the Middle East, we are now even seeing new shipments coming in from other regions. In any case, we are in a better situation in Brussels than many other places, thanks to the NATO pipeline system.”

However, the 8% profit margin Brussels Airlines is aiming for will not be achievable this year due to the current crisis, but the airline does expect to turn a profit.