Cargolux reports 90% drop in profit

In its full-year results for 2019, Cargolux reported a decrease in net profit from US$211m in 2018 to US$20m in 2019, a year-on-year drop of 90.5 percent.

The cargo carrier also reported that total revenues decreased 14 percent  year on year, from US$2.6bn in 2018 to US$2.4bn in 2019. In a statement, Cargolux said that this was a consequence of lower load factors and yields coupled with lower fuel surcharge revenues as a result of a declining fuel price.

Cargolux is currently seventh in IATA’s ranking of the worlds’ top 25 international scheduled cargo carriers.

 Cargolux has moved to strengthened its footprint as an expert in niche markets with an expanding global network. In 2019, the company added two new destinations, Santiago de Chile and Jakarta. These additional gateways enable the company to both explore new business opportunities and meet existing customer requirements. 

At the end of December 2019, the total fleet of 30 aircraft comprised sixteen Boeing 747-400 freighters (11 B747-400Fs and 5 B747-400ERFs) and fourteen Boeing 747-8 freighters. The majority of the 747-400 fleet is either debt free or on flexible lease contracts (Power by the Hour basis). This fleet enables Cargolux to respond to changing market conditions in a flexible and timely manner. 

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