Originally Posted by
ManillaChillaDilla
When were the cash reserves supposed to be able to last until?
Was it the end of 2021?
At this rate we will be lucky if there is anything left to go back to.
MCD
It was supposed to be end of this year, but that forecast was made very early on in the pandemic, May last year I think. And that was assuming basically no income going ahead. Since then there’s been income from the IFAM and repatriation flying, domestic government backed flying, a profitable resource sector, and quite profitable domestic flying whenever it is going. As well as international and domestic employee wage subsidies from the government and the raising of cash by the selling of land. A big part of losses last year were redundancies which won’t happen again this year.
Qantas Group HY21 Appendix 4D and Interim Financial Report
Domestic was profitable at only 30% capacity to December (I believe they’re 40-50% for the upcoming months) and International’s position will be bolstered by more repatriation flights and government assistance.
Investors are seeing the same thing as the share price is the same as it was in mid May before the latest round of domestic border closures started and well above the March 2020 level.
To put it in context the share price is down 5% compared to the start of the year when we were a bit more optimistic with the vaccine on the way. If there was someone to be worried about it would be the Australian airline group who’s shares are down 42% compared to the start of the year that recently grounded all their domestic jets.......