{"id":42818,"date":"2023-08-24T16:53:55","date_gmt":"2023-08-24T11:23:55","guid":{"rendered":"https:\/\/aviationa2z.com\/?p=42818"},"modified":"2023-09-11T11:21:57","modified_gmt":"2023-09-11T05:51:57","slug":"qantas-achieves-au2-47-billion-profit-driven-by-demand","status":"publish","type":"post","link":"https:\/\/aviationa2z.com\/index.php\/2023\/08\/24\/qantas-achieves-au2-47-billion-profit-driven-by-demand\/","title":{"rendered":"Qantas Achieves a Remarkable AU$2.47 Billion Profit, Driven by Surging Demand"},"content":{"rendered":"\n

SYDNEY – <\/strong>Australian flag carrier Qantas Airways<\/a> (QF) has surged beyond the disruptive pandemic era, achieving a record-breaking profit of AU$2.47 billion for the full year 2022-23.<\/p>\n\n\n\n

This marks a striking reversal from the AU$1.86 billion loss incurred in the previous year. After losing A$7 billion in three years, Qantas has clawed back a third of that in the twelve months ended June 30th, 2023.<\/p>\n\n\n\n

\"Australian
Photo: Qantas<\/figcaption><\/figure>\n\n\n\n

CEO Insights<\/h2>\n\n\n\n

Qantas Group CEO Alan Joyce said;<\/p>\n\n\n\n

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\u201cThese results show a substantial turnaround in both our finances and service over the past year.<\/p>\n\n\n\n

\u201cFlight delays and cancellations have largely returned to pre-COVID levels and we\u2019ve shifted from heavy losses to a strong profit and pipeline of investment worth billions of dollars.<\/p>\n<\/blockquote>\n\n\n\n

Following a challenging ramp-up, Qantas notably enhanced its operational performance throughout the year. <\/p>\n\n\n\n

This year signifies the Group’s return to a full-year statutory profit since FY19, following accumulated losses exceeding AU$7 billion. Qantas attributed the profit to the successful implementation of its AU$1 billion ($660m) recovery program. <\/p>\n\n\n\n

\"Australian
Photo: Qantas<\/figcaption><\/figure>\n\n\n\n

Qantas Record Profit<\/h2>\n\n\n\n

In the second half of FY23, the Group Domestic sector, encompassing Qantas<\/a>, QantasLink<\/a>, and Jetstar<\/a>, increased flight operations to 103% of pre-COVID levels. The airline also achieved the top spot in on-time performance among domestic carriers for 11 out of 12 months.<\/p>\n\n\n\n

Robust leisure and business travel demand played a pivotal role, resulting in an impressive Underlying EBIT of A$1.5 billion. By segment, Qantas Domestic produced 33% of the revenue, International 37%, and Jetstar Group<\/a> 20%.<\/p>\n\n\n\n

Qantas Domestic was the highest profit earner, contributing AU$1.27 billion ($838m) to underlying profit, up from a loss of AU$765 million in FY22.<\/p>\n\n\n\n

Similarly, Jetstar successfully returned to pre-COVID levels, with substantial revenue coming from demand within the resources sector.<\/p>\n\n\n\n

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Photo by WikiCommons<\/figcaption><\/figure>\n\n\n\n

International Success<\/h2>\n\n\n\n

During the year, Group International (Qantas and Jetstar) substantially raised flying from 54 percent to 81 percent of pre-COVID levels. This is facilitated by reintroducing seven refurbished Airbus A380s, delivering two new Boeing 787s and eight new A321LRs.<\/p>\n\n\n\n

This robust operational effort and the high demand for premium cabins significantly contributed to achieving an Underlying EBIT of $1.1 billion. Passenger loads have consistently exceeded 85 percent for both Qantas and Jetstar.<\/p>\n\n\n\n

The Group allocates AU$340M in bonuses to over 21,000 employees, recognizing their contribution to profit turnaround. The incentive includes 1,000 shares and a AU$5,000 ‘recovery boost’ per employee, totaling about $11,000 each.<\/p>\n\n\n\n

Non-executive employees receive AU$500 staff travel credits, and benefits extend to managers and executives with improved travel perks.<\/p>\n\n\n\n

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Our people have done a superb job under very difficult circumstances. Today\u2019s result means more than 21,000 non-executive staff will receive up to AU$6,000 worth of Qantas shares as a thank you for their part in our recovery, plus another AU$500 staff travel credit. This is in addition to a AU$5,000 cash payment to eligible employees as new enterprise agreements are finalised.<\/p>\nCEO Alan Joyce <\/cite><\/blockquote>\n\n\n\n

\"Australian
Photo: Qantas<\/figcaption><\/figure>\n\n\n\n

Qantas Frequent Flyer Rewards for Flyers<\/h2>\n\n\n\n

Qantas Loyalty achieved significant growth across several parts of its portfolio, driving a record Underlying EBIT of AU$451 million.<\/p>\n\n\n\n

Notably, Qantas unveiled sales to over 90 destinations, offering over one million seats for sale. The airline also introduced a program to reward recent flyers with frequent flyer points or credits.<\/p>\n\n\n\n

For those who have flown at least once in the last year, Qantas offers a choice of 1,000 points or 30 status credits.<\/p>\n\n\n\n

Flyers taking 10 or more trips in the same timeframe can opt for 5,000 points or 75 status credits.<\/p>\n\n\n\n

The CEO concluded by stating<\/p>\n\n\n\n

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It\u2019s because we\u2019re in a strong financial position that we\u2019re able to invest in new aircraft, new destinations, and new training facilities \u2013 all things that will make us better in the future.<\/p>\n<\/blockquote>\n\n\n\n

Stay tuned with us. Further, follow us on social media for the latest updates.<\/p>\n\n\n\n

Join us on Telegram Group <\/a>for the Latest Aviation Updates. Subsequently, follow us on Google News<\/a>.<\/p>\n\n\n\n

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