Luxair: Record performance, worrying forecasts and a course towards sustainability
Planet Volumes
Gilles Feith, CEO of the national carrier, told RTL: "Luxembourg should be proud to have a company like Luxair, which offers flights to more than 90 destinations from Findel Airport. However, the outwardly positive figures mask a more complex reality: despite its best financial result in two decades, the company is forecast to end 2025 with a loss.
Passenger traffic, according to Feith, continues to grow not only within Luxembourg but also from the Greater Region. This is testament to the high demand for affordable air travel. Nevertheless, the growing volumes are not saving Luxair from cost pressures. Luxair announces an imminent rise in ticket prices - a measure forced and driven by both internal and external factors.
"Travelling by air is really going to go up in price. This is a general trend for the industry. But we have to stay within reason and take climate impact into account," notes the CEO. Environmental sustainability is becoming an important pricing factor.
Luxair has set a goal of achieving zero emissions by the middle of the 21st century. The main barrier, the company recognises, is the cost of clean fuels. Manufacturers of such solutions have significantly raised prices, making environmental targets more elusive. Feith intends to raise the issue at European Commission level to gain more support from regulators.
Against the backdrop of strategic challenges, operational performance remains robust. Findel continues to operate smoothly and the number of trained pilots allows all flights to be operated on schedule. Luxair does not face the staffing problems that plague many European carriers.
Luxair demonstrates a classic example of a contradictory position: against a backdrop of growing demand and a reputation as a reliable carrier, the company has to respond to climate, market and regulatory challenges. 2025 will be a year to test the flexibility of the strategy, as well as a year when important conversations about a fair and sustainable future for aviation will be brought to a European level.
