Qantas has reported a slide in profit for FY19, but reinforced that all parts of the group remain “strongly profitable”.
Qantas saw a 6% slide in its statutory profit before tax of $1.27 billion for FY19, attributing the fall to a $614m increase in fuel costs and $154m of foreign exchange impacts on non-fuel new expenditure.
Qantas Group International continued to lag, suffering a 28% drop in its underlying EBIT of $285 million, while Group Domestic witnessed a 4% slide in underlying EBIT of $1.03 billion.
Qantas Loyalty saw earnings growth driven by the Frequent Flyer Program as well as new insurance and financial products, achieving a record underlying EBIT of $374 million, up 8%.
CEO Alan Joyce said the performance was particularly positive given mixed market conditions.
“Even with headwinds like fuel costs and foreign exchange, we remain one of the best performing airline groups in the world,” he said.
More in today’s edition of Travel Daily.