Air France-KLM (OTCMKTS:AFLYY) Issues Quarterly Earnings Results, Beats Expectations By $0.19 EPS

Air France-KLM (OTCMKTS:AFLYY) issued its quarterly earnings results on Thursday. The transportation company reported $0.23 EPS for the quarter, topping the consensus estimate of $0.04 by $0.19, Zacks reports. Air France-KLM had a net margin of 3.21% and a return on equity of 82.86%.

Air France-KLM Stock Performance

Shares of Air France-KLM stock opened at $1.48 on Friday. The business’s 50 day moving average price is $1.30 and its 200 day moving average price is $1.35. The company has a market cap of $3.90 billion, a price-to-earnings ratio of 3.71, a PEG ratio of 0.09 and a beta of 1.28. The company has a debt-to-equity ratio of 5.64, a quick ratio of 0.60 and a current ratio of 0.65. Air France-KLM has a one year low of $0.75 and a one year high of $1.76.

Key Headlines Impacting Air France-KLM

Here are the key news stories impacting Air France-KLM this week:

• Positive Sentiment: Q4 swing to profit and earnings beat — Air France‑KLM reported Q4 EPS of $0.23, beating the consensus (~$0.04), and posted a return to net profit driven by lower unit costs and fuel efficiencies. This is the primary driver for the stock lift. Read More.
• Positive Sentiment: Record full‑year operating result and margin improvement — Group operating result crossed the €2bn mark for 2025 and margin improved to ~6.1%; group revenues rose ~4.9% to €33.0bn, with unit revenue (constant currency) up ~1.0% thanks to premiumization. These validate the recovery and operational improvements. Read More.
• Positive Sentiment: Operational progress cited on the earnings call — Management highlighted productivity gains, fuel hedging tailwinds (fuel price after hedging down ~7%), capacity growth focused on higher-yield segments and fleet renewal investments, supporting improved unit costs and margins. Read More.
• Neutral Sentiment: Detailed financials published — Consolidated financial statements and notes for 2025 were released, providing the full accounting detail behind headline numbers for analysts and creditors to review. Read More.
• Negative Sentiment: Missed green bond target — The group reported strong profits but missed a green bond target, a setback for ESG‑focused investors and could complicate sustainability financing or reputational objectives. Read More.
• Negative Sentiment: CEO flags industry risks: Europe not adequately protecting aviation — CEO Benjamin Smith warned publicly about competitive and regulatory headwinds, citing cost pressures and fleet delivery delays; these comments underscore ongoing operational and policy risks that could pressure margins if unresolved. Read More.

Analyst Upgrades and Downgrades

A number of brokerages recently weighed in on AFLYY. Barclays lowered shares of Air France-KLM from an “equal weight” rating to an “underweight” rating in a research note on Wednesday, January 14th. Citigroup reissued a “neutral” rating on shares of Air France-KLM in a report on Thursday, December 11th. JPMorgan Chase & Co. upgraded Air France-KLM from a “neutral” rating to an “overweight” rating in a research report on Monday, December 1st. Royal Bank Of Canada started coverage on Air France-KLM in a research report on Tuesday, January 20th. They set a “hold” rating for the company. Finally, Oddo Bhf raised Air France-KLM from a “neutral” rating to an “outperform” rating in a research note on Friday, February 6th. One analyst has rated the stock with a Strong Buy rating, two have assigned a Buy rating, five have assigned a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat.com, Air France-KLM presently has an average rating of “Hold”.

Air France-KLM Company Profile

Air France-KLM is a leading European airline group formed in 2004 through the merger of France’s flagship carrier Air France and the Netherlands’ national airline KLM Royal Dutch Airlines. Headquartered in Paris and Amstelveen, the group provides passenger, cargo and maintenance services across a global network, connecting major hubs in Europe, North America, Asia, Africa and Latin America.

The company’s primary business activities include scheduled passenger transport on short, medium and long-haul routes; air freight operations under Air France-KLM Cargo; and technical support and maintenance services through AFI KLM E&M.