Lufthansa has shared that it generated total revenue of 18.1 billion euros in 2005, which was 6.5 percent more than in 2004. The Lufthansa Group increased operating profit in 2005 by 50 percent to 577 million euros. (3/25/2006)

We aimed high in 2005 and have achieved more than expected - despite record oil prices, said Lufthansa chief executive officer and chairman Wolfgang Mayrhuber. We are strategically well positioned and are operating successfully against tough competition. We are growing, we have become more profitable, and we have invested in future-promising products and quality.

Our strategy as a full-line provider is paying off. We lay on individual services for individual needs - purpose-designed for every requirement, said Mayrhuber.

The carrier said it expects operating profit to at least match 2005's level this year as earnings growth is held back by a further 22 percent rise in fuel costs. The carrier reiterated its goal to achieve an operating profit of 1 billion euros ($1.21 billion) by 2008 as it seeks to cut more costs and integrates Swiss International Air Lines.

They are surfacing faster and to greater effect than we targeted. Customers of both airlines are profiting from the tie-up; their response is entirely positive. The Swiss carrier is expecting to break even this year and return a profit in 2007, the chairman noted.

All six business segments returned an operating profit. The leisure travel group Thomas Cook and the in-flight caterer LSG achieved the turnaround. Lufthansa is established on a firm financial footing and has further strengthened its balance sheet. The Group still commands substantial liquidity. Shareholders will also benefit from the year's good results: The Executive and Supervisory Board are to propose a per-share dividend of 0.50 euro (previous year: 0.30 euro) at the Annual General Meeting, stated a release.

The group shared that its airlines pushed up their combined traffic revenue by 8.0 percent to 13.9 billion euros. Successful capacity and sales management significantly raised average yields in passenger business (+3.5 percent) and freight business (+10.8 percent). Other operating income fell by 11.9 percent to 1.5 billion euros. One reason for this was that the book profits of 331 million euros were 25.8 percent lower than in 2004. Of this total, 182 million euros came from the sale of the remaining shareholding in Amadeus Global Travel Distribution S.A. and 107 million euros from the disposal of Loyalty Partner GmbH.

From 3 April, Lufthansa is to offer round-trip flights to all European destinations at the attractive price of 99 euros, including taxes and charges.