KLM Group reported improved operating results for the first quarter of 2025, posting an operating loss of €199 million, down from €290 million in the same period last year. The Dutch group’s revenue reached €2.946 billion, reflecting a 7.7% year-over-year increase.
This improvement is attributed to more stable operations and increased fleet availability. The company also noted early positive effects from its cost-saving program launched in October, while emphasizing the continued need for a strong focus on cost control.
During the quarter, KLM made progress toward its target of saving €450 million. Measures included the elimination of 250 office positions and productivity improvements across various business units.
Marjan Rintel, CEO of KLM, stated: “The first results are now visible, but we are far from where we need to be, so we remain focused on cost savings.” She added: “Operationally, we had a strong quarter with significantly fewer cancellations and our best on-time departure performance in the past two years. This is a strong achievement with positive impacts on both our customers and revenue.”
The “Back on Track” program progressed as planned during the quarter, with contributions from revenue improvement initiatives and the Maintenance division, including both third-party revenue and internal cost reductions.
Bas Brouns, CFO of KLM, said the positive impact of the measures is expected to increase as the year progresses. However, he cautioned that profitability remains under pressure despite revenue growth, due to rising costs in materials, labor, and airport fees. He also highlighted that geopolitical uncertainty underscores the need for cost control and efficiency, given the unclear impact on transport, supply chains, and cargo operations.
While fuel costs decreased, KLM faced higher expenses due to collective wage agreement-linked salary increases, component maintenance, and other operational outlays. Additionally, Schiphol airport fees increased on April 1.
The group’s operating performance showed solid progress, with better use of flight capacity and notable reductions in cancellations and delays compared to Q1 2024. KLM also reached an agreement with the Pilots’ Association for extended deployment of pilots through April 2026.
On the fleet front, KLM added three new Airbus A321neo aircraft during the quarter, part of the nine new-generation aircraft delivered to the Air France-KLM Group in Q1. The airline also launched new routes to Ljubljana (LJU) and Exeter (EXT), and began construction of a modern training center for KLM Group pilots.
Meanwhile, Transavia had a challenging first quarter. Despite a 13.9% increase in revenue, its costs rose more sharply, leading to an operating loss of €205 million, €40 million higher than in Q1 2024. The low-cost carrier increased capacity (ASK) by 13.6%, but revenue passenger kilometers (RPK) rose only 10.7%, resulting in a load factor of 86.5%, down 2.3 percentage points. Performance was impacted by geopolitical instability, bad weather in Spain, and a rise in Dutch ticket taxes, which diverted demand to German and Belgian airports.
KLM Group’s Cargo, Engineering & Maintenance (E&M), and Passenger Services divisions performed in line with expectations. The Air France-KLM Maintenance unit reported strong growth in third-party revenue (+11.5%), boosting its operating result by €36 million.
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