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Old 11th Jan 2019, 06:37
  #732 (permalink)  
Rated De
 
Join Date: Sep 2017
Location: Europe
Posts: 1,253
Originally Posted by hotnhigh View Post
Was only reviewing this article the other day. All roads lead to 2020.
Good luck to the poor bastard that inherits the mother of all shit sandwiches.
https://www.smh.com.au/business/comp...15-p4z0gd.html

It is well known in the broader industry that the Qantas footprint and withdrawal was an indication that the business focus shifted. The growth of JQ at the expense of the parent is a dangerous knife to balance. Buoyed by surplus cash flow and cheap fuel, on first examination, which is all the MSM bother with, it appeared ok.

That the segment accounts hide the impact is one thing, but an airline of JQ's size flying the amount of ASK for such a small revenue return should concern investors.
Endless discussion of cost base aside, with the depreciation change accounted and the cheap fuel 'bonanza' buying time other airlines have taken advantage of the respite to re-equip.
That this management and board chose to to neglect long term strategic imperatives for short term personal gain is not new, but the gap is ever more obvious every day.

Even the bought and paid for ratings agencies acknowledge what this thread highlighted well before their analysts looked through the spin: Qantas fleet metrics are horrible.


Mr Goyder ought, given his experience with Bunnings UK, understand the there is perhaps a reason no airline has followed Qantas, scaling up an demand elastic model to the size that JQ is now.
With group revenues declining in real terms despite all the additional JQ capacity re-equipping Qantas is axiomatic.

Perhaps the circuit breaker is that a new set of eyes are needed, a set of eyes not focused on maintaining the hero narrative and the image in the mirror.

Qantas need a new fleet.
Qantas need a new management.







Qantas need a new fleet.

Last edited by Rated De; 11th Jan 2019 at 06:50.
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