AAP Finance

Qantas finally turns a profit after pandemic hit

By AAP Newswire

Feb 23, 2023

Qantas CEO Alan Joyce — Alan Joyce has announced the national carrier has finally returned to profit after the pandemic. -AAP Image

Qantas has posted an interim underlying pre-tax profit of $1.43 billion in its first return to profitability since the coronavirus pandemic started three years ago.

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The record first-half result was at the top end of the airline's forecast for an underlying profit between $1.35b and $1.45b in the first half of fiscal 2023.

The statutory net profit for the six months to June 30 was $1b, compared to a $456m net loss a year ago.

"When we restructured the business at the start of COVID, it was to make sure we could bounce back quickly when travel returned," CEO Alan Joyce said on Thursday.

"That's effectively what's happened, but it's the strength of the demand that has driven such a strong result."

The profit turnaround was delivered despite a 65 per cent increase in fuel costs during the half.

Qantas said domestic flying levels had averaged 94 per cent of pre-pandemic levels, while international capacity also doubled to 60 per cent.

The national carrier will not pay any interim dividend for the half year but announced an on-market share buy-back of up to $500 million.