Source: KLM

The KLM Group reported a revenue of €6.3 billion in the first half of 2025, an increase of 5.7% compared to the same period of 2024. Despite improvements in the operating result and a 3% increase in capacity, KLM did not achieve an operational profit. Higher costs further reinforce the need to continue the structural savings plans for the remainder of 2025.

The operating result for the first half of the year was –€2 million. Although this is an improvement compared to the first half of 2024 (–€31 million), this is a disappointing outcome given the €6.3 billion in revenue. This is a direct result of a 4.3% increase in costs per unit.

Marjan Rintel, CEO KLM: ‘We are facing strong headwinds, and we see that reflected in the figures. This has both internal and external causes. Internally due to higher labour costs and operational problems with available fleet in May and June. And externally, because, for example, due to the NATO summit and the conflicts in the Middle East, we were unable to fly what we had scheduled. This resulted in financial setbacks, while at the same time we managed to achieve cost savings in the first half of the year.’

Second quarter

The operating result in the second quarter of 2025 was €63 million lower than in the same period last year. This decline was mainly driven by consecutive collective wage increases, the last of which was implemented on 1 July 2024. In addition, KLM faced operational challenges and higher external costs such as a sharp increased airport charges at Schiphol (+41%). These higher costs were partly offset by lower fuel prices and the improvement programme. The results of this are visible and continued after the first quarter. KLM’s ambition remains unchanged to execute the Back on Track programme which is 450 million in 2025.

Cargo, E&M and Transavia

Cargo performed better than in the first half of 2024 and implemented iCargo, an innovative IT handling system for Air France-KLM’s cargo operations. Engineering & Maintenance (E&M) also posted solid results, with revenues up to 20%. Transavia resolved earlier challenges related to maintenance, supply chain and staffing, resulting in 10% increase in production and an 8.4% rise in revenue in the first half of 2025 compared to last year. However, higher costs and increasing competition continued to weigh on the operating result.

2025 outlook

KLM will continue to invest in a cleaner and quieter fleet in the second half of 2025, including new A321s and Boeing 787s. For the remainder of 2025, KLM expects high costs and external challenges, such as geopolitical tensions and fuel price fluctuations, to continue to put pressure on the operating result.

Bas Brouns, CFO KLM: ‘We are making progress, but as expected, costs and uncertainty in the market continue to increase. Only by fully implementing the improvement programme we can stay on course for a financially healthy future and continue to invest in our product, customers and people.’

The press release from Air France-KLM Group regarding the second quarter can be read here.