Air France-KLM, the Franco-Dutch airline group, has published its Q4 2025 results, with the company significantly improving its full-year net profit, especially as KLM has begun to stabilize its operations.
The group ended Q4 2025 and 2025 with net profits of €585 million ($689.8 million) and €1.7 billion ($2 billion), respectively, with quarterly and annual revenues climbing to €8.1 billion ($9.5 billion) and €33 billion ($38.9 billion).
Air France’s strong year
Air France significantly improved its operating profit in 2025, ending the year with an operating result of €1.3 billion ($1.5 billion), resulting in an operating margin of 6.7%, an increase of 1.6 percentage points year-on-year (YoY).
According to the group, the French carrier’s margin improvement was “driven by unit revenue improvement within the Passenger network, Cargo and Maintenance, fuel price reduction, and the unit cost increase was limited.”
Air France’s full-year revenues climbed to €20.2 billion ($23.8 billion), while fuel was a significant tailwind, with fuel expenses improving from €4.1 billion ($4.8 billion) to €3.8 billion ($4.4 billion) in 2025.
KLM is stabilizing
In 2025, KLM’s operating profit improved by €1 million ($1.1 million), with the Dutch carrier ending the year with an operating result of €416 million ($490.3 million), yet its operating margin was down 0.1 percentage points YoY.
Still, the group concluded that KLM “stabilized the operating result,” with its ‘Back on Track’ program contributing at least €450 million ($530.4 million). Air France-KLM noted that the program, which KLM unveiled in 2024, enabled the Dutch carrier to navigate headwinds such as rising charges at Amsterdam Schiphol Airport (AMS), lower low-yield passenger demand, and operational disruptions.
KLM’s revenues were €13.2 billion in 2025, growing by 3.9% YoY.
“In order to achieve its 2028 ambition of delivering an operating margin above 8%, [KLM] will continue to execute its transformation program and enhance productivity, notably through the expansion of its long-haul operations.”
Rytis Beresnevicius
Loss-making Transavia
Meanwhile, Transavia, the group’s low-cost carrier, was loss-making in 2025. While its operating profit improved in Q4 2025, its full-year operating loss was €49 million ($57.7 million). Its operating margin contracted by 1.5 percentage points YoY to -1.4%.
In addition to the temporary impact of Transavia France taking over Air France’s operations at Paris Orly Airport (ORY), the low-cost carrier was impacted by AMS’ tariff increase, resulting in travelers flying from airports in Germany, the group said.
“Transavia’s capacity growth is accompanied by focused actions on unit cost reduction and network profitability, in a highly competitive environment.”
During the year, Transavia’s unit revenues were 1.7% lower YoY, while unit costs rose by 1.2%.
