Qantas posts best profit since before the GFC

Qantas today announced its strongest profit since before the Global Financial Crisis and an order for eight B787 aircraft, to be delivered from calendar year 2017 to gradually replace five older B747s to start a “new era” for Qantas International.

Chief executive Alan Joyce said the milestone acquisition of the next-generation Dreamliner for Qantas International marked the scale of Qantas’ turnaround and signalled a new phase of renewal and growth.

“We are halfway through the biggest and fastest transformation in our history,” Joyce said. “Without that transformation, we would not be reporting this strong profit, recommencing shareholder returns, or announcing our ultra-efficient Dreamliner fleet for Qantas International.

“We have reshaped our business for a strong, sustainable future – and because we moved quickly and made tough decisions early, we have strong foundations to build on.”

The Jetstar Group reported record Underlying EBIT of $230 million, up from a loss of $116 million in financial year 2014, driven by strong performances in the Australian domestic and Australian international market. Jetstar International achieved a record profit as it introduced more B787-8s into its fleet.

Jetstar’s New Zealand business was also profitable and all the Jetstar-branded airlines in Asia (Jetstar Asia (Singapore), Jetstar Pacific (Vietnam) and Jetstar Japan), improved their performance compared with financial year 2014, with losses halved.

The outlook for the Qantas Group sees expected to increase by 3-4 per cent in the first half of financial year 2016 compared to the first half of financial year 2015.