The Luxembourg-based cargo airline (CV) generated a profit after tax of USD 448 million in the past financial year (vs USD 286 million in 2023) and revenues of USD 3.3 billion (2023: 297 billion). “It is by far the best annual result since the cargo boom in the corona years and one of the strongest annual results since the airline was founded 55 years ago,” exclaimed Tom Weisgerber, Chairman of the Board of Directors, at the presentation of the figures last Wednesday (23APR25) in Luxembourg.
The result is particularly remarkable because the geopolitical tensions and the numerous regional crises (Middle East, Russian war on Ukraine, Houthi attacks) plunged global trade flows into turbulence. They also led to cost increases, efficiency declines and lowered customer confidence in air transport, CV’s Executive Board members admitted.
Capacity goes where the market is
However, these challenges were more than compensated for by the steep increase in e-commerce shipments, which led to a shift in transport capacity from other markets to East Asia. This commodity re-shaped global demand and disrupted traditional seasonal trends, making forecasts less predictable. In parallel, charter operations experienced a record demand, increasing the airline’s 2024 annual results.
At the annual press conference, Richard Forson, President & CEO of Cargolux spoke of an “exceptional result” achieved in 2024. “Our agile approach to business, and our people’s commitment to service excellence enabled Cargolux to swiftly adapt to changing market dynamics, securing yet another remarkable year,” stated the executive.
Rough ride ahead
The executive was cautiously optimistic about the current financial year, while at the same time pointing to increased risks for the air freight business, caused for example by Trump’s import tariffs. They are expected to negatively affect demand for air cargo capacity and disrupt traditional trade lanes.
At the same time, the increasing focus on sustainability and the introduction of regulatory changes also put pressure on the aviation sector. “The measures effective in the European Union will impact the cost of operations and will also benefit non-EU carriers, who are not subject to such regulations in their home countries. Authorities and industry players must work together to find suitable and viable solutions to ensure a sustainable future for the industry,” is stated in a CV release. The Cargolux fleet comprises 30 B747-8Fs and B747-400Fs with four of the latter operated by Milan Malpensa-based subsidiary, Cargolux Italia. The Boeing jumbos serve 75 destinations on scheduled flights. A fleet revamp is not planned until 2028. The Cargolux Executive Board hopes that the outstanding customs issues between the USA and Europe will long have been resolved by then.
