Finnair warned today that weaker-than-expected demand for North Atlantic flights, falling ticket prices, and the impact of strikes could weigh on its 2025 comparable operating profit, sending its shares down as much as 9%.
The Finnish carrier said North American traffic growth was more moderate than estimated during the second quarter, with average ticket fares declining and booking windows shortening amid general market uncertainties.
"Demand growth on North Atlantic routes was moderated by customer sentiment, influenced by media coverage of the US,especially in Finland," CEO Turkka Kuusisto said in a statement. He did not elaborate.
Fewer Europeans are travelling to the US due to concerns about US border controls and President Donald Trump's policies, leading to lower transatlantic airfares, preliminary data showed.
Finnair reported weaker-than-expected quarterly core earnings, affected by labour disputes with pilots and other staff.
Its second-quarter comparable operating profit was €10.3m compared to €43.6m a year earlier.
Finnair said it now expects full-year comparable operating profit to be closer to the lower end of its previously guided range of €100m to €200m.
