Qantas has posted a full-year underlying pre-tax loss of $1.86 billion after border closures and travel uncertainty due to the pandemic weighed on its earnings.
The airline’s net loss after tax for the year to June 30 narrowed to $860 million, compared to $1.7 billion the year before.
“These figures are staggering and getting through to the other side has obviously been tough,” CEO Alan Joyce said on Thursday.
However, revenue for the year jumped 53.5 per cent to $9.11b following a revival in global air travel after restrictions eased.
Qantas said flying levels for the year averaged 33 per cent of pre-pandemic levels after the pandemic significantly disrupted air travel but finished the financial year at 68 per cent, spurring a strong rebound in travel demand.
“We always knew travel demand would recover strongly but the speed and scale of that recovery has been exceptional,” Mr Joyce said.
“Our debt is now below our target range – so in addition to the investments we’re making in customers and our people, we’re in a position to start repaying shareholders,” Mr Joyce told reporters.
Qantas said long periods of low activity combined with restart costs resulted in a full-year underlying loss of $1.1b at its domestic operations, which include low-cost carrier Jetstar. However, sustained recovery in domestic travel demand translated into positive earnings for the fourth quarter, it said.
Qantas also announced today that it will recommence flights to New York, with a new service from Australia to the Big Apple via Auckland from 14 June next year, with fares on sale from today.
Earlier this week, Qantas CEO Alan Joyce offered a formal apology to millions of passengers for recent operational issues, thanking loyal customers for their patience with Frequent Flyer rewards and flight vouchers.
Shares in the national carrier jumped on the news. By 1025 AEST, Qantas shares were up 8 per cent to $4.91.
For the full report, head to: www.qantasnewsroom.com.au
