Qantas Annual Report
Was flicking through last years annual report and had a couple of questions I was hoping someone with a bit more financial nous than myself might be able to answer.
The report shows that Jetstar had an underlying profit of $131m and Qantas $67m. However if you look more closely, here's how they calculate that :
Jetstar
EBITDAR ...................................463
Leases ..................................... (315)
Depreciation and Amortisation (17)
Underlying EBIT .......................131
Qantas
EBITDAR .....................................1415
Leases ..........................................(279)
Depreciation and Amortisation (1069)
Underlying EBIT ............................ 67
Why is there such a massive difference between the depreciation costs of the two? Although the report shows you a breakdown of the profit contributed by each section of the group, it then goes on to report the depreciation and amortisation of the group lumped together.
Secondly, why is the goodwill of Jetstar valued at $130m, while the goodwill of Qantas, Qantas Freight and Qantas Frequent Flyer combined valued at $23m.
Cheers