Lufthansa reports 9% drop in Q3 profit as core brand struggles

German airline group Lufthansa reported a fall in Q3 operating profit on Tuesday as its flagship brand struggles with low yields, competition with international airlines and spiralling costs. Q3 operating profit of E1.3b was largely in line with the expectations of analysts polled by the company, but 9% lower than a year earlier. "Delayed aircraft deliveries, punctuality issues at our hubs in Germany and regulatory disadvantages are impacting our core brand," CEO Carsten Spohr said in a statement. Q3, which includes the busy summer months for travellers, is usually the strongest for European airlines, but rising costs, unpredictability tied to the crisis in the Middle East and plane delivery delays continue to weigh on results. Shares in Lufthansa were down 2.68% at 1152 GMT after the results were announced. Shares in Wizz Air, British Airways owner IAG and easyJet also dropped. Lufthansa's passenger airlines, which include its namesake brand as well as carriers such as Austrian Airlines, Swiss International and Eurowings, generated an operating profit of E1.2b in Q3r, down from E1.4b a year earlier. The drop was driven mainly by a E234m decline in the result of its core brand Lufthansa Airlines, the company said in a statement. A slower recovery in corporate travel also contributed, analysts said.<br/>