This is not [yet] time to short!
No it isn't yet, the historic open short interest is low.
It is indicative that the key metrics necessary to indicate a move in sentiment were not yet being readily observed. Most analysts 'analyse' airlines as part of the transport sector. Naturally given a company like Qantas' Share Market Capitalisation, Qantas remains heavily represented in most portfolios.
Point in fact, it is the rising fuel price that beings to show the inherent weakness of the 'transformation' narrative.
The same driver is demand induced revenue slowing; yield begins to cascade downwards.
Qantas were very lucky with the fuel price decline. Mr Clifford's missive about the problems facing the company are disingenuous: It is their own waste of shareholder capital, largely rewarding themselves for an industry wide fuel price decline that saved the day.
There is no doubt in our minds, that the impairment charge was well overdue (writing off the International fleet in FY15).
The $597 million dollar fuel saving was due the fact that carrying each RPK (at least across the Pacific) Qantas burn 64% more fuel. Therefore any price reduction on this input would have magnified the benefit as Qantas run a fuel inefficient fleet.