Air France expects decline in sales due to Olympics
Air France anticipates fewer passengers and revenue this summer due to the Olympics in Paris. Paris is expected to be avoided as a travel destination in the summer, according to Air France-KLM. Traffic to and from the French capital is lower than anticipated for traffic to and from other major European cities.
The number of trips from Paris to other destinations is also below the usual average for the period from June to August. French residents are reportedly postponing their vacations until after the Olympics or considering alternative travel options, Air France explained. The revenues for the summer season are under pressure, which can be attributed to the Olympics in Paris.
Therefore, Air France-KLM currently expects earnings between 160 million and 180 million Euros for the period June to August 2024. Travel behavior to and from France is expected to normalize after the Olympics, which are scheduled from July 16 to August 11. Encouraging demand levels are forecasted for the end of August and September, according to Air France.
The decline in sales during the summer season at Air France can be partly attributed to less turnover of passengers due to the Olympic Games in Paris. Despite the Olympics, the iconic Olympia airport in France might still experience less air traffic during this period. Even with the Olympics in July and August, positive earnings are forecasted for Air France after September, indicating a potential turnaround in passenger numbers and air turnover.
