Slán Alan , hello ....
https://loyaltylobby.com/2023/05/12/...record-profit/
There is only one employee in Qantas who will get a bonus like that and we all know who that is.
There is only one employee in Qantas who will get a bonus like that and we all know who that is.
Im sure the little soon to be ceo could tink(think) up many reasons why his employees should not get any bonuses.
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I WOULD CALL IT PRICE GOUGING MYSELF
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Alan Joyce’s final investor day as Qantas chief executive was a testament to the power of work he’s done steering the airline through to the other side of the pandemic, and the big task facing his successor, Vanessa Hudson.
As most travellers would know through their lived experience, Qantas’ domestic EBIT margins have leapt from an average of about 12 per cent pre-COVID to about 18 per cent at present thanks to surging demand, limited capacity and a domestic aviation sector structure that means Qantas takes 80 per cent of the profit pool.
New Qantas chief executive Vanessa Hudson will take delivery of a new plane every three weeks for three years under the airline’s fleet investment program. David Rowe But the fact that Qantas believes it can hold its EBIT margin at 18 per cent for the foreseeable future says the airline is dead right when it says it has an “advantaged share” of the domestic sector.
There are several factors driving this sustained margin improvement.
A huge part, of course, is the drastic – and controversial – work Joyce did to slash $1 billion from the airline’s cost base over the past 18 months. The restructuring of Australia’s domestic aviation networks, both by Qantas, is another part of the platform.
The new planes that Qantas will deploy over the next few years will be important too, with per-seat costs on the new Airbus 220 aircraft an impressive 21 per cent lower than the Boeing 717s they will gradually replace.
But with the outlook for demand still extremely strong, Qantas will also be able to keep prices high. Or, as it says in a more polite way, ensure it continues to get a “premium yield” out of each seat.
The word “premium” appears 22 times in the Qantas presentation, and the airline went to some length to explain how it sees the market; Qantas serving the corporate, SME and premium leisure market (there’s that word again) and Jetstar focused on the more price-sensitive end of the domestic market, with plenty of cheap fares on offer.
But Jetstar’s forecast margin trajectory also speaks to its dominant market position; the group expects EBIT margins to jump from between 10 per cent and 11 per cent up to 15 per cent, just above the pre-COVID level of 14 per cent.
There was less detail on Tuesday about the financial burden Qantas faces over the coming years from fleet renewal, and investors will want more from Hudson on this front when she takes the pilot’s seat.
But the investor day emphasised that Hudson will make these fleet investments from a strong position; Qantas used the word “advantaged” on Tuesday to describe its position in several markets, its balance sheet and its profitability.
The next seven years are about exploiting those advantages in a sector where demand will keep outstripping supply for some time to come
Investors will love Qantas’ profit plan, fliers less so
Qantas repeatedly described its position in Australian aviation as “advantaged” on Tuesday, and it’s determined to lock in today’s high profit margins for tomorrow. May 30, 2023 – 4.50pmSave
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Alan Joyce’s final investor day as Qantas chief executive was a testament to the power of work he’s done steering the airline through to the other side of the pandemic, and the big task facing his successor, Vanessa Hudson.
As most travellers would know through their lived experience, Qantas’ domestic EBIT margins have leapt from an average of about 12 per cent pre-COVID to about 18 per cent at present thanks to surging demand, limited capacity and a domestic aviation sector structure that means Qantas takes 80 per cent of the profit pool.
New Qantas chief executive Vanessa Hudson will take delivery of a new plane every three weeks for three years under the airline’s fleet investment program. David Rowe But the fact that Qantas believes it can hold its EBIT margin at 18 per cent for the foreseeable future says the airline is dead right when it says it has an “advantaged share” of the domestic sector.There are several factors driving this sustained margin improvement.
A huge part, of course, is the drastic – and controversial – work Joyce did to slash $1 billion from the airline’s cost base over the past 18 months. The restructuring of Australia’s domestic aviation networks, both by Qantas, is another part of the platform.
The new planes that Qantas will deploy over the next few years will be important too, with per-seat costs on the new Airbus 220 aircraft an impressive 21 per cent lower than the Boeing 717s they will gradually replace.
But with the outlook for demand still extremely strong, Qantas will also be able to keep prices high. Or, as it says in a more polite way, ensure it continues to get a “premium yield” out of each seat.
The word “premium” appears 22 times in the Qantas presentation, and the airline went to some length to explain how it sees the market; Qantas serving the corporate, SME and premium leisure market (there’s that word again) and Jetstar focused on the more price-sensitive end of the domestic market, with plenty of cheap fares on offer.
But Jetstar’s forecast margin trajectory also speaks to its dominant market position; the group expects EBIT margins to jump from between 10 per cent and 11 per cent up to 15 per cent, just above the pre-COVID level of 14 per cent.
There was less detail on Tuesday about the financial burden Qantas faces over the coming years from fleet renewal, and investors will want more from Hudson on this front when she takes the pilot’s seat.
But the investor day emphasised that Hudson will make these fleet investments from a strong position; Qantas used the word “advantaged” on Tuesday to describe its position in several markets, its balance sheet and its profitability.
The next seven years are about exploiting those advantages in a sector where demand will keep outstripping supply for some time to come
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Brace for higher fares on Qantas’s ultra-long flights
Istanbul: Passengers hoping to snag a seat aboard a Qantas “Project Sunrise” ultra-long-haul flight should brace for high airfares.Incoming Qantas boss Vanessa Hudson says the carrier’s direct flights from Australia’s east coast to London and New York will run at a 20 per cent premium, doubling down on the airline’s estimation the routes will deliver a $400 million profit bump when fully operational.
The first of these ultra-long services will launch with Sydney to London in 2025, and the project is expected to be fully operational by 2030.
Incoming Qantas boss and current chief financial officer Vanessa Hudson expects the airline’s direct services to London and New York from Australia’s east coast to deliver high returns. CREDIT: RHETT WYMAN Hudson, currently the airline’s chief financial officer, told a media roundtable at the International Air Transport Association’s annual meeting that the airline expected the routes to deliver at least the same 20 per cent premium as the Perth to London service.“We think it’s very reasonable to say, given the markets in Melbourne and Sydney are bigger premium markets, that we would get what we’re getting today on Perth to London.”
Chief executive Alan Joyce said the indicative Sunrise route network was focused on where the airline will be able to tap into premium travellers who are willing to pay to travel directly.
“The big market for us has historically been the UK, to Europe and North America ... We think the London route is a growth opportunity where there’s a lot of first-class and premium travellers willing to pay the premium for this aircraft,” Joyce said.
Hudson also said the 12 A350s that will service the routes will have more premium seats than the current international fleet of Boeing 787s. The A350s will also have a higher payload than the 787s, which will enable higher freight loads.Qantas’s fleet of A350s will have just 238 seats, about 100 fewer than rivals Qatar and Cathay which will fly the aircraft on long-haul routes from Australia.
Qantas expects the running costs of the Sunrise route to be lower than the current international services as the airline will not have to incur airport fees or any other costs resulting from stopping mid-flight. The airline will offset 100 per cent of the Project Sunrise route emissions from the outset.
The airline will look to sell its fleet of 28 A330s in the second half of this year. Qantas has been criticised over the average age of its fleet, which now sits at 15 years, older than its international rivals that fly to Australia. The average age of its A330 fleet hovers around 16 years.
Qantas’s fleet modernisation program “Project Winton” will refresh its domestic and international arms. The airline expects the program to cost $5 billion over the next five years, but analysts expect the figure will be closer to $15 million.
Including the A350s, the airline has ordered 118 aircraft to be delivered over the next 10 years including 12 Airbus 350-1000s, 20 A220s and 20 A321XLRs. The first of the A321s and A220s will begin arriving this year and will, along with 109 A320neos, replace Qantas’s current domestic and short-haul international fleet of Boeing 737s and 717s and increase the number of seats by 40 per cent.
The modernisation means passengers will be travelling on more fuel efficient, quieter aircraft with more seat capacity, but it’s not yet clear how much travellers will have to pay for the pleasure
The SQ ULR A350 has 67 business and 94 premium economy seats = 161 seats.
QF stating they will have just 238 seats 🙃 which means a mix of business premium and economy.
QF stating they will have just 238 seats 🙃 which means a mix of business premium and economy.
“The airline will look to sell its fleet of 28 A330s in the second half of this year.”
Thats a bit premature considering they haven’t even ordered the replacement yet……..🙄
Thats a bit premature considering they haven’t even ordered the replacement yet……..🙄
[QUOTE=davidclarke;11446506]“The airline will look to sell its fleet of 28 A330s in the second half of this year.”
Thats a bit premature considering they haven’t even ordered the replacement yet……..🙄[/QUOTE
I think they have actually it’s the 321XLR .
Thats a bit premature considering they haven’t even ordered the replacement yet……..🙄[/QUOTE
I think they have actually it’s the 321XLR .
[QUOTE=dragon man;11446514]
The initial batch of 321XLRs are to replace early build 737s. There has been no announcement of 330 replacement so to say your selling them prior to replacing them is odd……
The initial batch of 321XLRs are to replace early build 737s. There has been no announcement of 330 replacement so to say your selling them prior to replacing them is odd……
[QUOTE=davidclarke;11446538]I think it was a tongue in cheek comment suggesting that at least some 330s will be replaced by an eventual order of 321XLRs instead of widebodies.
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None of this should be a surprise to anyone - always ask yourself and your union - What are they NOT telling Us...?
You can blame this muppet all you want for your sub-standard wage but if you voted yes for a rubbish EA then it’s solely your fault.
This puppy patter simply found a way to pay for the increase in the super guarantee and the dumb Pilot groups keep voting yes…
This puppy patter simply found a way to pay for the increase in the super guarantee and the dumb Pilot groups keep voting yes…
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We can see why he has carried out several share buy backs instead of investing in the business.
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MAKING GEOFF DIXIN LOOK GOOD
