Lufthansa Technik successfully remains resilient in the first half of 2026 in a market environment that remained strong but became increasingly volatile. High global demand for maintenance, repair and overhaul (MRO) services, combined with the company’s broad portfolio, contributed to a positive business performance. At the same time, Lufthansa Technik continued its investment strategy and further strengthened its position as the world’s leading provider of technical aircraft services through new customer agreements and facility expansions.

With revenue of 4.4 billion euros (+11 percent) and Adjusted EBIT of 315 million euros (+2 percent), Lufthansa Technik once again achieved a strong result in the first half of the year. Business with external customers increased by 21 percent and accounted for 78 percent of total revenue (prior-year period: 72 percent). However, operational performance continued to be shaped by cost pressure and market volatility. As a result, the margin declined to 7.1 percent (down 0.7 percentage points compared with the prior-year period).

External factors weighed particularly on performance in the second quarter. In addition to the effects of the Middle East crisis, which led to reduced demand for certain MRO services due to lower flight hours and postponed shop visits, operational performance was also affected by the weakening of the U.S. dollar compared with the previous year, as well as ongoing material shortages and delivery delays among aircraft, engine and component manufacturers and suppliers. Despite these headwinds, Lufthansa Technik was able to achieve a result slightly above prior-year level, supported by new customer contracts, consistent cost management and a one-time effect resulting from an insurance compensation payment.

“Demand for our services remains strong overall. At the same time, we are experiencing greater volatility in shop visits and less predictability than we did just a few years ago. This makes our close partnership with customers more important than ever. Through this customer focus and our ability to adapt quickly to changing conditions, Lufthansa Technik remains resilient and successful, even in a challenging market environment,” said Dr. Christian Leifeld, Chief Financial Officer of Lufthansa Technik.

Investments lay the foundation for profitable growth

Lufthansa Technik continues to pursue its long-term investment strategy consistently. An important milestone was the groundbreaking for the new production facility in Portugal, where the company will significantly increase its capacity for the repair of engine parts and aircraft components through an investment of several hundred million euros. The future site in Santa Maria da Feira, near Porto, is expected to create up to 700 highly skilled jobs.

In Asia, Lufthansa Technik is also continuing its growth trajectory and further reinforcing its presence in one of the world’s most dynamic aviation markets. With its new site in Clark, Philippines, the company is creating approximately 1,200 new jobs and additional capacity for widebody aircraft overhaul services.

In addition, Lufthansa Technik further developed its defense business. By taking on support services for the Boeing P-8A Poseidon, Lufthansa Technik Defense reached an important milestone in April and added technical support for maritime patrol aircraft to its portfolio. The ongoing support of the German Armed Forces’ largest airborne weapons system further strengthens the company’s role in the growing military MRO market.

“Our investments follow a clear objective: we want to grow profitably and create additional capacity where our customers will need it in the future. At the same time, we are continuing to advance our technological capabilities, whether in Europe, Asia, the Americas, or the growing defense sector,” explained Christian Leifeld.

On the customer side, Lufthansa Technik further deepened its cooperation with international partners. This includes, in particular, the agreement to provide Auxiliary Power Unit (APU) support for Air India’s Airbus A350 fleet, further expanding its footprint in one of the world’s fastest-growing aviation markets.

Stable outlook for the full year

Despite the more challenging market environment, Lufthansa Technik continues to expect business performance for the full year to be clearly above the prior-year level. Sustained strong demand, long-term customer contracts, the expansion of its global production network, and disciplined cost management provide a solid foundation for this outlook.

Investments in infrastructure and capacity go hand in hand with investments in people. At the end of the first half of 2026, Lufthansa Technik employed 22,983 people worldwide.

“Especially in an environment characterized by strong demand, rising costs, and increasing market dynamics, we cannot focus solely on the present. The decisions we make today will determine our competitiveness tomorrow. That is why we continue to invest consistently in infrastructure, digitalization, sustainability, and talent. These investments create the foundation for long-term success and strengthen Lufthansa Technik’s resilience,” emphasized Christian Leifeld.

Lufthansa Technik continued its growth course in the first quarter of 2026, but had a somewhat more moderate than expected start of the fiscal year with regard to its earnings performance. Revenue rose to 2.3 billion euros in the first three months (+12 percent compared to the same period last year), underscoring the high global demand for technical aircraft services. The share of revenue from customers outside the Lufthansa Group grew from 73 to 78 percent. However, the global market leader in aircraft maintenance, repair, and overhaul (MRO) continues to face challenges concerning its margin development.

Adjusted EBIT for the first quarter was 158 million euros (-2 percent), the margin declined accordingly from 8.0 to 7.0 percent. The main reasons for the ongoing challenges are the continuing material shortages, particularly for engine maintenance, increased material costs, and a U.S. dollar exchange rate that is less favorable for Lufthansa Technik than in the previous year. “We are sticking to our long-term plan and are once again investing hundreds of million euros this year in our future. We therefore have corresponding high expectations for our earnings. However, industry-wide material shortages and price increases pose a daily challenge for us,” says Dr. Christian Leifeld, Chief Financial Officer of Lufthansa Technik.

In addition, the company – like the entire aviation industry – is closely monitoring the crisis in the Middle East. “The extent to which this will affect our MRO business obviously depends largely on how long the conflict lasts and how it impacts our customers. So far, the crisis has not had a significant impact on our results. However, we are seeing the first airlines reduce their flight capacity. This, in turn, could dampen our growth and profit momentum, at least temporarily,” says Christian Leifeld. “We are therefore considering various scenarios and taking precautions for the factors we can control. Internal cost discipline is at the top of our agenda, with our strong customer focus remaining unchanged.”

Meanwhile, Lufthansa Technik continues to drive forward the planned development and expansion of new and existing locations. The opening of a new state-of-the-art production facility for the repair and overhaul of aircraft components in Tulsa (Oklahoma, USA) was celebrated a few weeks ago. At the new location in Santa Maria da Feira, south of Porto (Portugal), groundbreaking for the 55,000-square-meter facility – which will service aircraft components and engine parts – is set to take place shortly. 700 jobs are expected to be created there. Preparations for the construction of a new facility are also underway in Calgary, Canada, where a new engine shop is being built for Mobile Engine Services. Initial work is already being performed at interim sites in both Portugal and Canada.

At the expanding European center of excellence for base maintenance services on wide-body aircraft in Malta, Lufthansa Technik recently completed the first cabin modification on a Boeing 787 Dreamliner. Meanwhile, the South American LATAM Airlines Group decided to equip even more of its aircraft with AeroSHARK, the nature-inspired solution for reducing drag, which was developed by Lufthansa Technik and BASF Coatings. There was also good news from Asia last quarter: With the Juneyao Group, Lufthansa Technik signed its largest-ever contract for engine services in China.

An important step for the German locations was the recent conclusion of a new collective bargaining agreement for Lufthansa Group ground staff. Moreover, the so-called “Zukunftstarif” (Future Agreement)  includes additional provisions that benefit production employees at Lufthansa Technik. These measures enhance the attractiveness of the jobs and strengthen the company’s competitiveness in the labor market.