In 2013, fuel costs accounted for 55.8% of Lufthansa Airline's total operating expenses. Lufthansa has implemented various strategies to reduce fuel costs and increase efficiency, such as investing in new technology, testing new flight methods, adjusting the amount of water carried on flights, and using a fuel hedging program to mitigate financial impacts from fluctuating fuel prices. Lufthansa was able to improve fuel efficiency by 3.8% in 2013 by consuming just 3.91 liters of fuel per passenger per 100 kilometers flown.
2. Content
• Total fuel and operating expenses of Lufthansa
Airlines in 2013
• Percentage of fuel cost in 2013
• Total fuel and total operating expenses of
Lufthansa Airlines in 2013
• Percentage of fuel cost in 2013
• Lufthansa Airlines way to reduce fuel cost
• Fuel Hedging Program of Lufthansa Airlines
3. Total Fuel Cost Of
Lufthansa
• In 2013, fuel costs accounted for 55.8 per cent of
the Lufthansa Group’s operating expenses.
• Significant changes in fuel prices can therefore
have a considerable effect on the Group’s result.
4. • In 2013 the passenger airlines in the Lufthansa
Group beat the four litfe mark for the first time, with
an average consumption of just 3.91 litres of
kerosene per passenger per 100 kilometres.
• Improvement of 3.8 per cent over 2013
• Twice the annual efficiency target increase of 1.5 %
set for the airline industry
7. Lufthansa Airlines way to reduce fuel
cost
• Investing in technological progress.
• Making good progress in this direction.
• Testing and implementing new flight methods and
developing intelligent software tools.
• Adjusting amount of water boarded for each flight
8. The Fuel Cost Of
Lufthansa As A
Percentage Of Total Cost
• Total Fuel Cost 2013: 7,058 Million €
• Total Cost 2013: 31,379 Million €
9. Cost Reducing
• Fuel Hedging
• Replacing some materials in plane
• Uranation of Passengers
• Triming seat sizes
• Adding seats to the plane
• Filling all the seats on one flight
10. Conclusion
• Improvement of 3.8 per cent over 2013
• Lufthansa Airlines ways to reduce fuel cost are :
Investing in technological progress.
Making good progress in this direction.
Testing and implementing new flight methods
Adjusting amount of water boarded for each flight
• In order to reduce finacial impact on Lufthansa Airlines from
changes in the price of jet fuel they are using a hedging
program.
