Lufthansa has halved the number of flights it plans to operate this winter, cutting capacity to just 25% following the resurgence of Covid across Europe.

The Lufthansa Group confirmed the worsening outlook despite delivering third-quarter results which were better than expected, with a loss of almost €1.3 billion in the three months to September.

The group, which comprises Swiss, Austrian Airlines, Brussels Airlines and Eurowings, had previously planned to operate 50% of its former capacity over the winter.

It recorded losses of more than €4 billion for the year to date after repaying €2 billion in cancellation refunds in the third quarter.

Lufthansa reported having about €10 billion in liquidity at the end of September, helped by €9 billion in loans and credit guarantees from the German state and €1.4 billion in Switzerland, plus government assistance in Belgium and Austria.

In a statement, Lufthansa said it was “in a position to withstand further burdens from the coronavirus pandemic”.

The group is due to report its third-quarter results in full in early November.