Jetstar success helps Qantas register highest ever H1 pre-tax profit

By Addie Thomes

Australian national carrier Qantas has released record H1 2018 results, posting a pre-tax profit of $976mn, its highest ever figure for a half financial year.

This 15% increase derives from revenues of $8.66bn and comes in spite of challenges relating to fuel price rises and heightening competition for international custom.

Indeed, it was domestic flights and budget airline Jetstar which stood out as top performers. Domestic flights returned $447mn in revenues, up 20%, while Jetstar recorded earnings of $318mn, an increase of 16% versus H1 2017.

See also:

In his CEO’s address, Qantas boss Alan Joyce said: “We met – or exceeded – all targets of our financial framework. Debt is towards the bottom of our target range. Every division is returning more than its cost of capital. We generated a record amount of operating cash flow and free cash flow was almost three times higher than the previous first half.

“And we delivered for customers – launching our new Dreamliner, which is getting rave reviews; opening new lounges here and overseas; and starting new routes.”

Earlier this year, Qantas also operated the first biofueled flight from Los Angeles into Melbourne.

Another success has been the company’s loyalty programme, which saw revenues jump 2% to $184mn.

Joyce concluded in his statement: “Looking ahead, we’re broadly positive about trading conditions and the prospects for consumer demand. After several years of turning this business around, Qantas now has a lot of momentum behind it.”

Share

Featured Articles

Nirvik Singh, COO Grey Group on adding colour to campaigns

Nirvik Singh, Global COO and President International of Grey Group, cultivating culture and utilising AI to enhance rather than replace human creativity

How Longi became the world’s leading solar tech manufacturer

On a mission to accelerate the adoption of sustainable energy solutions, US$30 billion Chinese tech firm Longi is not just selling solar – but using it

How Samsung’s US$5billion sustainability plan is working out

Armed with an ambitious billion-dollar strategy, Samsung is on track to achieve net zero carbon emissions company-wide by 2050 – but challenges persist

UOB: making strides in sustainability across Southeast Asia

Sustainability

Huawei smartwatch goes for gold with Ultimate Edition

Lifestyle

How IKEA India plans to double business, triple headcount

Corporate Finance