According to a press release, the Australian carrier and its affiliates also expect to report an underlying profit before tax in the $50 million-to-$100 million range for fiscal year 2011-2012, a marked decline from the previous financial year.
Even so, the Qantas Group is projecting growth in its domestic sector, forecasting an EBIT of more than $600 million for Qantas’ and low-cost carrier Jetstar’s Australian operations. This figure is particularly impressive, according to the press release, since both carriers have contended with industrial action, sky-high fuel costs and “aggressive competitor capacity increases.”
Alan Joyce, CEO of Qantas Group, also addressed these challenges, starting that the carrier and its affiliates have “taken decisive action to mitigate loss by withdrawing from loss-making routes, reducing capital investment, and transforming Qantas engineering.”
Qantas has also redeployed capacity on routes deemed profitable, including doubling its capacity to Dallas/Fort Worth International Airport and launching service to Santiago International Airport. On the cargo side, the carrier commenced weekly cargo service to emerging manufacturing hub Chongqing, China, on April 20 — a move that demonstrates Qantas’ commitment to Asian expansion, according to a press release.
According to a press release, the Australian carrier and its affiliates also expect to report an underlying profit before tax in the $50 million-to-$100 million range for fiscal year 2011-2012, a marked decline from the previous financial year.
Even so, the Qantas Group is projecting growth in its domestic sector, forecasting an EBIT of more than $600 million for Qantas’ and low-cost carrier Jetstar’s Australian operations. This figure is particularly impressive, according to the press release, since both carriers have contended with industrial action, sky-high fuel costs and “aggressive competitor capacity increases.”
Alan Joyce, CEO of Qantas Group, also addressed these challenges, starting that the carrier and its affiliates have “taken decisive action to mitigate loss by withdrawing from loss-making routes, reducing capital investment, and transforming Qantas engineering.”
Qantas has also redeployed capacity on routes deemed profitable, including doubling its capacity to Dallas/Fort Worth International Airport and launching service to Santiago International Airport. On the cargo side, the carrier commenced weekly cargo service to emerging manufacturing hub Chongqing, China, on April 20 — a move that demonstrates Qantas’ commitment to Asian expansion, according to a press release.