Finnair raises profit outlook on higher travel demand

Finnair Tuesday raised its full-year 2023 operating profit target and said it expects travel demand to exceed expectations, sending its shares up 3%. The company now estimates that its comparable operating profit this year will reach or even exceed 2019's pre-pandemic level of E162.8m, it said. "As a result of the improved profit outlook, Finnair's strategic comparable operating profit margin target of at least 5% from mid-2024 onwards would be reached 12–18 months earlier than anticipated," the carrier said. However, it does not see its revenue for 2023 reach the 2019 level of E3.1b, Finnair added. Less-costly fuel prices also helped, the company said. However, high fuel prices and the closure of Russia's airspace still cause uncertainty, it added. Finnair had in late April predicted that its revenue and earnings would significantly improve this year but added at the time that the company would still lag levels seen in 2019, the last year before the outbreak of the COVID-19 pandemic.<br/>