Airline Lufthansa sees shares drop after new outlook falls short of analyst estimate

FRANKFURT – Shares in German airline Lufthansa have fallen after the airline issued a new profit forecast that is short of analyst expectations.

The airline said Tuesday it would earn 600-700 million euros ($820-$960 million) in operating profit this year. The earlier forecast was for an improvement on last year’s 524 million.

The new forecast was short of the 943 million foreseen by analysts surveyed by financial information provider FactSet.

Lufthansa AG shares traded down 3 per cent at 14.40 per share in morning trading in Europe.

The airline said its earnings this year would include one-time costs of 300 million euros and revenue would be on a par with last year. The company reports earnings for the first nine months of the year on Oct. 31.