(Reuters) – Lufthansa said on Friday it had returned to a “clearly positive result” in 2022 despite high costs, including jet fuel, thanks to a surge in travel demand after the loss-making years of the pandemic, and said s expect a significant improvement in earnings in 2023.

The action of the group gained more than 6% on the Frankfurt Stock Exchange during the first exchanges, and signs an increase of more than 30% since last December.

The number of passengers doubled in 2022, and the turnover almost doubled, compared to 2021, amounting to 32.8 billion euros, although the figures remain below pre-pandemic levels.

“Lufthansa is back,” CEO Carsten Spohr said in a statement.

“In just one year, we have achieved an unprecedented financial turnaround. Air travel demand will remain high in 2023,” he added.

The company reported adjusted operating profit of 1.51 billion euros in 2022, compared to a loss of 1.67 billion euros the previous year.

In the fourth quarter, adjusted operating income improved from a loss of 42 million euros to a profit of 575 million euros, which is in line with expectations.

Its balance sheet also improved, with net debt dropping from €9 billion to €6.9 billion.

However, operating profit is still 34% lower than in 2019, and turnover is 10%. The airline notes that the number of passengers was 72% of the level reached at the time.

Yields are expected to remain around 20% above 2019 levels as higher costs are passed on to passengers, a Lufthansa representative said in a call with reporters.

The company said it expects “significant further improvement” in operating profit this year.

After many flights were canceled last year, the airline is preparing for potential travel chaos this summer. It has canceled some of its scheduled flights for 2023, as airport and technical staff remain limited in some areas.

(Report Anna Mackenzie and Anastasiia Kozlova in Gdansk, Joanna Plucinska in London; Lina Golovnya, editing by Kate Entringer)

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