QF Losses
Network will start to get a bigger slice of any flying that costs less even if it means crews overnighting & alliance has the e jets now,they wont be sitting idle if a $ can be saved or made.
Results Summary
- Underlying Profit Before Tax: $124 million (down 91%)
- Statutory Loss Before Tax: $2.7 billion (majority of which is non-cash, including aircraft write downs)
- $4 billion revenue impact from COVID crisis in 2H20
- Operating cash flow: $1.1 billion
- Liquidity of $4.5 billion providing considerable buffer to manage uncertainty
- Significant progress on initial steps of three-year recovery plan
thanks in large part to “Qantas Loyalty’.
During the period, the Group’s Domestic airlines flew approximately 30 per cent of their Pre-COVID network but remained profitable contributing $71 million at the Underlying EBITDA level. The Group’s International operations fell into losses, contributing an Underlying EBITDA loss of $86 million, as the Group’s International passenger operations were largely grounded. Qantas Freight delivered a record performance providing a natural hedge to the impact of the grounding of the passenger business, limiting the losses from Group International. The resilience of the Qantas Loyalty business was again demonstrated as it generated a significant positive cash flow contribution for the Group and an Underlying EBITDA of $152 million. This reinforces the benefit of the diversification of earnings it provides.
plus you can’t look at before tax, before depreciation, before whatever, they are real expenses. Yes it is one look at a company but ....
debt has increased quite significantly.. 840 million.
thanks in large part to “Qantas Loyalty’.
During the period, the Group’s Domestic airlines flew approximately 30 per cent of their Pre-COVID network but remained profitable contributing $71 million at the Underlying EBITDA level. The Group’s International operations fell into losses, contributing an Underlying EBITDA loss of $86 million, as the Group’s International passenger operations were largely grounded. Qantas Freight delivered a record performance providing a natural hedge to the impact of the grounding of the passenger business, limiting the losses from Group International. The resilience of the Qantas Loyalty business was again demonstrated as it generated a significant positive cash flow contribution for the Group and an Underlying EBITDA of $152 million. This reinforces the benefit of the diversification of earnings it provides.
plus you can’t look at before tax, before depreciation, before whatever, they are real expenses. Yes it is one look at a company but ....
debt has increased quite significantly.. 840 million.
During the period, the Group’s Domestic airlines flew approximately 30 per cent of their Pre-COVID network but remained profitable contributing $71 million at the Underlying EBITDA level. The Group’s International operations fell into losses, contributing an Underlying EBITDA loss of $86 million, as the Group’s International passenger operations were largely grounded. Qantas Freight delivered a record performance providing a natural hedge to the impact of the grounding of the passenger business, limiting the losses from Group International. The resilience of the Qantas Loyalty business was again demonstrated as it generated a significant positive cash flow contribution for the Group and an Underlying EBITDA of $152 million. This reinforces the benefit of the diversification of earnings it provides.
plus you can’t look at before tax, before depreciation, before whatever, they are real expenses. Yes it is one look at a company but ....
debt has increased quite significantly.. 840 million.
debt has increased quite significantly.. 840 million.
He has a MASSIVE opportunity to write down whatever the hell he wants. There will be losses everywhere. He will be bleeding losses. Although, not so much for his personal salary, obviously. He will still get paid, but for everything else - it's a cataclysmic disaster.
Qantas is (and in this regard I agree with the tepid little worm) too big to fail. In spite of everyting (sic) he's (sic) done for (sic) the Company, it will leap from the bowels of destruction to an incredible turnaround in whatever time frame can be mutually agreed by his (sic) accountants and the Govt.
Up until about September last year I did have (some) sympathy for Elaine. It wouldn't have been easy, But he was 'always' too big to fail. He knew it, the Govt knew it, and he is a master of graft, political soft glove 'persuasion' and naturally, persecution of staff.
That bit is yet to come.
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Qantas will ******* a-niiiiiiihilate the competition. Lay down misere.
gee-sus, look at the competition. That's like saying Eddie the Eagle is the best ski jumper in a one man event.
Best airline CEO in Australia at the moment
gee-sus, look at the competition. That's like saying Eddie the Eagle is the best ski jumper in a one man event.
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Much easier to sell JobKeeper 2.0 for International employess if the expectation is an October 2021 end.
Might get it over the line - and then extend when borders haven't opened as expected.
As opposed to trying to sell a 12 month or longer JK package.
Might get it over the line - and then extend when borders haven't opened as expected.
As opposed to trying to sell a 12 month or longer JK package.
Just to clarify, I believe that the Tiger example is not a good one. That is what they (Virgin/Tiger) wanted to do (Airbus redundancies), however it was pointed out that they couldn’t actually do that, and that became the first downfall that resulted initially in everything bar the Melbourne flight attendants becoming redundant. Eventually of course the whole brand was discarded of.
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Just to clarify, I believe that the Tiger example is not a good one. That is what they (Virgin/Tiger) wanted to do (Airbus redundancies), however it was pointed out that they couldn’t actually do that, and that became the first downfall that resulted initially in everything bar the Melbourne flight attendants becoming redundant. Eventually of course the whole brand was discarded of.
Since I’ve been grounded through this, I’ve taken it upon myself to up-skill in the business world.. Funny thing, when the economy tanks, it’s usually not the Finance or Accounting department that get stood down..
But one thing I’ve learned is that profit and loss statements are just for the paying of tax. Minimise the profits, make large losses and you can carry those tax credits on for as long as you can. It means you don’t have to pay as much tax during the great turn around. If you’re going to record a loss, make it as big as you can get away with. Profit and loss does nothing to the share price and the value of the company.
The cash flows are what adds the value, if you don’t have the cash to pay a dividend, watch your share price fall faster than a brick, taking the value of the company with it. Keep a positive cash flow during the worst crisis the industry and the share price will at least remain stable and then head for the skies at the end.
No matter what you think of Joyce, he’s doing a good job making sure the QF group is around for a long time and do what it’s main job is. Returning appropriate wealth to its shareholders.
But one thing I’ve learned is that profit and loss statements are just for the paying of tax. Minimise the profits, make large losses and you can carry those tax credits on for as long as you can. It means you don’t have to pay as much tax during the great turn around. If you’re going to record a loss, make it as big as you can get away with. Profit and loss does nothing to the share price and the value of the company.
The cash flows are what adds the value, if you don’t have the cash to pay a dividend, watch your share price fall faster than a brick, taking the value of the company with it. Keep a positive cash flow during the worst crisis the industry and the share price will at least remain stable and then head for the skies at the end.
No matter what you think of Joyce, he’s doing a good job making sure the QF group is around for a long time and do what it’s main job is. Returning appropriate wealth to its shareholders.
the other reason is usually where a new ceo takes over and uses management discretion to drag out all the skeletons and also deliberately be more cautious than required so that things can be unwound in subsequent years to boost profit in those years and hence bonuses tied to profit and share price to get bonus shares tied to the share price.
examples are for a bank, bad loan provisions. New ceo says they think there is not enough provided so add a few hundred million. Or more. Insurance companies it is the amount put away for future claims, again you can move several hundred million based on management discretion. There are other tricks. But watch next time a new ceo takes over a bank, insurance company etc. the results for that year will always be terrible, a lot worse than the previous years. The results will then miraculously recover in the next and subsequent years.
The same thing happens in major downturns like the GFC and perhaps now, but there are other tricks ...
on a side note regarding Qantas, we all know that the previous years profits have been significantly created because of the low oil price of around $40US a barrel. Take a look at the price now. Just over $63 and climbing. Hmmmm.
Last edited by Foxxster; 26th Feb 2021 at 02:53.
Since I’ve been grounded through this, I’ve taken it upon myself to up-skill in the business world.. Funny thing, when the economy tanks, it’s usually not the Finance or Accounting department that get stood down..
But one thing I’ve learned is that profit and loss statements are just for the paying of tax. Minimise the profits, make large losses and you can carry those tax credits on for as long as you can. It means you don’t have to pay as much tax during the great turn around. If you’re going to record a loss, make it as big as you can get away with. Profit and loss does nothing to the share price and the value of the company.
The cash flows are what adds the value, if you don’t have the cash to pay a dividend, watch your share price fall faster than a brick, taking the value of the company with it. Keep a positive cash flow during the worst crisis the industry and the share price will at least remain stable and then head for the skies at the end.
No matter what you think of Joyce, he’s doing a good job making sure the QF group is around for a long time and do what it’s main job is. Returning appropriate wealth to its shareholders.
But one thing I’ve learned is that profit and loss statements are just for the paying of tax. Minimise the profits, make large losses and you can carry those tax credits on for as long as you can. It means you don’t have to pay as much tax during the great turn around. If you’re going to record a loss, make it as big as you can get away with. Profit and loss does nothing to the share price and the value of the company.
The cash flows are what adds the value, if you don’t have the cash to pay a dividend, watch your share price fall faster than a brick, taking the value of the company with it. Keep a positive cash flow during the worst crisis the industry and the share price will at least remain stable and then head for the skies at the end.
No matter what you think of Joyce, he’s doing a good job making sure the QF group is around for a long time and do what it’s main job is. Returning appropriate wealth to its shareholders.
have you checked the consolidated cash flow statement of Qantas for this year. -861 million from operations, -514 million from investing, +468 million from financing. That was due to increased debt.
and returning appropriate wealth to shareholders. Thanks for the laugh.
reading your post again, perhaps it was satire.. I hope so.
Then it was all A320. (Early March)
Then everyone. (Mid-late March)
At no point was seniority a consideration at all!
Just to clarify, I believe that the Tiger example is not a good one. That is what they (Virgin/Tiger) wanted to do (Airbus redundancies), however it was pointed out that they couldn’t actually do that, and that became the first downfall that resulted initially in everything bar the Melbourne flight attendants becoming redundant. Eventually of course the whole brand was discarded of.
Unless your EBA is watertight and completely unambiguous around redundancy—most are not, expect the company to take the most efficient option.
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Oh dear, I wonder if Mr Joyce has seen this.
The WHO added that inoculated passengers should not be able to sidestep existing travel restrictions designed to reduce Covid.
That people should be mandated to have a vaccine to enjoy greater freedom is a politically divisive issue being fought out in national capitals.
The WHO's paper also says: 'National authorities should choose public health interventions that least infringe on individual freedom of movement.'
The WHO added that inoculated passengers should not be able to sidestep existing travel restrictions designed to reduce Covid.
That people should be mandated to have a vaccine to enjoy greater freedom is a politically divisive issue being fought out in national capitals.
The WHO's paper also says: 'National authorities should choose public health interventions that least infringe on individual freedom of movement.'
As for the issue of vaccines being mandated.....don't we already have that, albeit only now with Yellow Fever and in a very few countries.
C'mon, let's get flying again!
Not what happened at Scoot, first to go were foreign pilots on work visas , then Singaporean PRs , then likely Malaysian citizens
, objective to protect Singaporean citizens
Not looking great for Australian SOs but at QF at least an extensive warning was given & an option to avoid redundancies was available to all SOs
, objective to protect Singaporean citizens
Not looking great for Australian SOs but at QF at least an extensive warning was given & an option to avoid redundancies was available to all SOs
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Dear Me, if there is not a more corrupt, unethical, incompetent, deceitful lieing bunch of ***** than the WHO I'll stand rooting. Anyone who mentions them in any justification of health 'advice' is just showing how stupid and ignorant they are. Probably Victorians, Western Staters & Queenslanders (in that order) mention WHO most.
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WHO, UN, just more alphabet soup agencies that are a protected cocoon for bureaucrats and politicians. They all speak the same language - bull****. Another mob of idiots are IATA. Publishing statistics on the downturn of airline profits, passenger numbers and aircraft movements. No **** Sherlock. Why do we need these fools to tell us what we already know!! The majority of people on these forums are hard working frontline people badly affected by this global shutdown. Organisations like IATA and WHO are just seeking relevance within a world economic environment that doesn’t need them anymore. The production of useless data that does nothing to enable industry to either survive (barely), get back on its feet, or provide solutions to the current issues if they should occur again.