AUGUST 24th - QANTAS
Qantas in 'best' result since global financial crisis,
Plane Talking
Qantas has reported underlying profits before tax to June 30 of $552 million, in the middle of is guidance range
Qantas Airways has more than doubled full-year net profit and says the general operating environment is challenging and extremely volatile.
Read more: Qantas profit doubles, falls short of estimates
Qantas in 'best' result since global financial crisis, says chief executive Alan Joyce- QANTAS has more than doubled full-year net profit and says the general operating environment is challenging and extremely volatile.
"We achieved the result while overcoming significant external and operational factors, including a series of natural disasters, a 28 per cent increase in average fuel prices and an underperforming international business."
Qantas in 'best' result since global financial crisis, says chief executive Alan Joyce | The Australian
Qantas has reported underlying profits before tax to June 30 of $552 million, in the middle of is guidance range
Qantas Airways has more than doubled full-year net profit and says the general operating environment is challenging and extremely volatile.
Read more: Qantas profit doubles, falls short of estimates
Qantas in 'best' result since global financial crisis, says chief executive Alan Joyce- QANTAS has more than doubled full-year net profit and says the general operating environment is challenging and extremely volatile.
"We achieved the result while overcoming significant external and operational factors, including a series of natural disasters, a 28 per cent increase in average fuel prices and an underperforming international business."
Qantas in 'best' result since global financial crisis, says chief executive Alan Joyce | The Australian
Last edited by 1a sound asleep; 23rd Aug 2011 at 23:29. Reason: added more links
I noticed on Qantas 2010/11 Full-Year Results - Supplementary Slides (ASX website) that QF international had an 82.4% load factor(page61). I would describe that as fairly healthy loads. Why didn't international run at a profit????
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Jetstar Costs
Qantas mainline not only has to cover its own costs but also the costs of Jetstar.
Its difficult to generate profit when you cover costs of an entity that provides none of the benefits of revenue.
Its difficult to generate profit when you cover costs of an entity that provides none of the benefits of revenue.
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Qantas not only has to cover its own costs but also the costs of Jetstar.
Its difficult to generate profit when you cover costs of an entity that provides none of the benefits of revenue.
Its difficult to generate profit when you cover costs of an entity that provides none of the benefits of revenue.
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Once again terrific reporting of all the facts by a professional reporter who has done extensive research.
Sky's the limit for demanding Qantas workers | The Australian
Email address at the bottom too which is great, so we can all let her know what the facts are.
Sky's the limit for demanding Qantas workers | The Australian
Email address at the bottom too which is great, so we can all let her know what the facts are.
From trolling thru the slides this is where i get confused.
1) QF international , yield up 8%, revenue up11% unit costs up1% seat factor 82.4. Lost $200 million but dont know the exact amount because it includes domestic.
2) Jetstar EBIT up 29% with unit costs down 3% (maybe they are getting the hedged fuel). Ancillary revenue a record $24 a pax. Why not add $24 to each ticket and stop pissing the punters off.
3)Unit costs per ASK provided for Jetstar not Qantas.
4) Jetstar International load factor down from 77% to 76.1% Jetstar Asia load factor down from 80.4 to 76.7% with the fares they charge i cant believe they would be making money on those load factors, so why out of the Jetstar total earnings doesnt AJ tell us what each section of this wonderfull business is earning. Could it be that the non domestic business's are all losing money? I suspect so.
1) QF international , yield up 8%, revenue up11% unit costs up1% seat factor 82.4. Lost $200 million but dont know the exact amount because it includes domestic.
2) Jetstar EBIT up 29% with unit costs down 3% (maybe they are getting the hedged fuel). Ancillary revenue a record $24 a pax. Why not add $24 to each ticket and stop pissing the punters off.
3)Unit costs per ASK provided for Jetstar not Qantas.
4) Jetstar International load factor down from 77% to 76.1% Jetstar Asia load factor down from 80.4 to 76.7% with the fares they charge i cant believe they would be making money on those load factors, so why out of the Jetstar total earnings doesnt AJ tell us what each section of this wonderfull business is earning. Could it be that the non domestic business's are all losing money? I suspect so.
Last edited by dragon man; 24th Aug 2011 at 00:20. Reason: missed a word
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Slide 61 refers to "updated aircraft product to B738's on Trans Tasman routes" . This comes under the slide heading of "QANTAS INTERNATIONAL".
does this mean that they DO include Jetconnect as part of QF intl?
does this mean that they DO include Jetconnect as part of QF intl?
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As a share holder I understand I don't see the big picture, how do Freight earnings grow by 48% when the balance sheet shows net freight revenue only increased by 3%?? Is it that cheap to have contract freighters, did they really cut that much from their costs of last year? Or was it because they didn't have to pay any cartel fines this year??
I wasn't good at accounting can someone explain please?
I wasn't good at accounting can someone explain please?
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If your figures are so robust Mr Evans and there is nothing to hide then why don't you answer the 62 questions put forward by the ALAEA fed sec ?
I guess senior management have filed that one away with the engagement survey results.
I guess senior management have filed that one away with the engagement survey results.
Qantas Domestic. The real cash cow!
If QF international lost $200m, the EBIT for QF Domestic and Qlink would be $428m.
Total QF Domestic (including Qlink) passengers is 21,930,000. So each passenger earns QF $19.50 profit.
Total Jetstar passengers is 15,315,000, with an EBIT of $169m So each passenger earns Jetstar $11.03 profit.
When you look at the ASK's, QF Domestic makes a profit of $0.012 per ASK. Jetstar makes $0.0049 per ASK.
So QF Domestic is 2.5 times more profitable than Jetstar per ASK and makes 77% more profit per passenger.
So which business segment gets absolutely nothing from the recent announcements?
Total QF Domestic (including Qlink) passengers is 21,930,000. So each passenger earns QF $19.50 profit.
Total Jetstar passengers is 15,315,000, with an EBIT of $169m So each passenger earns Jetstar $11.03 profit.
When you look at the ASK's, QF Domestic makes a profit of $0.012 per ASK. Jetstar makes $0.0049 per ASK.
So QF Domestic is 2.5 times more profitable than Jetstar per ASK and makes 77% more profit per passenger.
So which business segment gets absolutely nothing from the recent announcements?
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Brother by another mother!
Exactly right. Have a look at the EBITDARs of the segments and see where the money comes from.
One day someone will wake up to the fact that the cash flow has gone and this "amazing" JQ business is not so amazing after all.
Unfortunately, those responsible will be and are long gone.
Exactly right. Have a look at the EBITDARs of the segments and see where the money comes from.
One day someone will wake up to the fact that the cash flow has gone and this "amazing" JQ business is not so amazing after all.
Unfortunately, those responsible will be and are long gone.
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The The, if your figures are correct, then in line with what AJ says about investing and putting capital into those business sections that are performing best......
......oh no the B787 is still going to JQ international instead of QF Domestic - where they're desperate for new equipment. Go figure!!!
......oh no the B787 is still going to JQ international instead of QF Domestic - where they're desperate for new equipment. Go figure!!!
Exactly right. Have a look at the EBITDARs of the segments and see where the money comes from.
Jetstar Asia made $A14.25m. That gives it a profit of $5.28 per passenger or $0.0024 per ASK. QF domestic is thus about 3.7 times more profitable per passenger or 5 times more profitable per ASK.
Jetstar Pacific is obviously such a complete basket case, they provide 2 lines on it with not a single financial detail.
If you take Jetstar Asia out of the Jetstar numbers, then the Jetstar profit per pax increases slightly to $12.27 and the ASK profit rises to $0.0054. Still a long way off QF domestic!!!
All these numbers are based on the financials provided by QF in the annual results including the $200m international losses, I have made NO assumptions, just broken down the numbers. Even if we did say QF had exaggerated the international losses and say said that QF international lost only $50m and so QF domestic made $278m, the QF domestic business still far outperforms the Jetstar business in profit per ASK and profit per passenger. It would appear that if QF really wanted the best return on capital, they would pour as much capital as possible into QF domestic to make even better returns.
No wonder Virgin is aggressively chasing the premium domestic market. JB knows this is the true pot of gold and must be laughing his head off at QF's stupidity in ignoring the best performing asset and market.
Last edited by The The; 24th Aug 2011 at 04:26.
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The The,
You figures may well be correct, just imagine though how much more profit Qantas could be making if they managed to reduce all their costs down to the level of Jetstar.
You figures may well be correct, just imagine though how much more profit Qantas could be making if they managed to reduce all their costs down to the level of Jetstar.
just imagine though how much more profit Qantas could be making if they managed to reduce all their costs down to the level of Jetstar.
Dump F/F ... dump Lounges etc etc These things don't run by themselves.
Is that what they really want?
Jetstar Pacific
Talking about Jetstar Pacific being a basketcase........ In Singapore yesterday I noticed the SIN-AKL run was cancelled and after a brief discussion was able to confirm the pax had been given seats on the QF 6 or 10 and then onto AKL. How often does this happen? and let me guess Jetstar will keep the revenue from the flight.
The The, if your figures are correct, then in line with what AJ says about investing and putting capital into those business sections that are performing best......
......oh no the B787 is still going to JQ international instead of QF Domestic - where they're desperate for new equipment. Go figure!!!
......oh no the B787 is still going to JQ international instead of QF Domestic - where they're desperate for new equipment. Go figure!!!
Now there is obviously a limit due to the maturity of the domestic market in that you cannot keep adding capacity forever (someone please tell Jetstar that). But it is clear that the B787 would give the best return in QF domestic as a replacement for the 767. It could even be argued there is a clear case for Jetstar domestic to be reduced and QF domestic expanded as it makes more money from the available seats it puts into the market.