Air France-KLM flies back to profit
Air France-KLM flew back to its first yearly net profit since 2008, sending its stock price soaring Thursday, after cheaper jet fuel and successive cost-cutting plans finally made its operations more profitable. Air France-KLM's turnaround came despite difficult labour relations and the terrorist attacks in and around Paris last year which deterred visitors to the French capital. But it remains a work in progress. Long-haul rivals like British Airways and Emirates Airline as well as discount carriers are much more profitable. A 20% drop in Q4 fuel costs led to 6.7% or E446m reduction in the annual fuel bill, offsetting a 2.8% rise in staff costs. Jet fuel prices have fallen around 41% in dollar terms in the past year as crude oil prices have tumbled. Even so, the group's 3.1% operating profit margin is meagre by European standards. <br/>
https://portal.staralliance.com/cms/news/hot-topics/2016-02-19/sky/air-france-klm-flies-back-to-profit
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Air France-KLM flies back to profit
Air France-KLM flew back to its first yearly net profit since 2008, sending its stock price soaring Thursday, after cheaper jet fuel and successive cost-cutting plans finally made its operations more profitable. Air France-KLM's turnaround came despite difficult labour relations and the terrorist attacks in and around Paris last year which deterred visitors to the French capital. But it remains a work in progress. Long-haul rivals like British Airways and Emirates Airline as well as discount carriers are much more profitable. A 20% drop in Q4 fuel costs led to 6.7% or E446m reduction in the annual fuel bill, offsetting a 2.8% rise in staff costs. Jet fuel prices have fallen around 41% in dollar terms in the past year as crude oil prices have tumbled. Even so, the group's 3.1% operating profit margin is meagre by European standards. <br/>
