Qantas awards shareholders, invests in the future.
Qantas Group has just announced its highest-ever first half Underlying Profit Before Tax of $976 million for the six months to 31 Dec 2017, up 15% year-on-year.
The result is up $55 million on the previous record of $921 million set in 1HFY16.
Group Domestic operations under Qantas and Jetstar posted their highest ever first half Underlying EBIT of $652 million.
Group International operations “performed well”, however Underlying EBIT for Qantas International was down 5.5% y-o-y to $222 million, and Jetstar International’s operation was impacted by around $10 million due to the Bali ash cloud disruption.
Qantas Loyalty achieved a record profit in the first half, increasing 1.7% to $184 million.
“After several years of consistent performance, we now have a lot of momentum behind us,” Group ceo Alan Joyce said. “We’re vigilant about maintaining that momentum and we’re confident about the future it allows us to build.”
Qantas announced it would: redevelop its Sydney International Business Lounge (increasing capacity by 30%); upgrade the cabins of QantasLink’s 45 turboprop aircraft; continue to roll-out domestic wi-fi (at the rate of approximately one aircraft per week), and remains focused on developing direct services to London and New York from the Australian east coast by 2022 under ‘Project Sunrise’.
The company also said it would start taking delivery of new Airbus A321 NEOs from mid-2020, which will be used to service routes such as Melbourne and Sydney to Bali.
A Qantas Group Pilot Academy will also be established in 2019 to support Qantas Group’s largest pilot recruitment and training program in its history.
The Qantas Board will return up to $500 million to shareholders, comprised of an interim dividend of 7 cents per share (unfranked) and another buyback worth up to $378 million.
More details in today’s issue of Travel Daily.