Qantas reports 2011/2012 net loss of $244m

Qantas Group reported underlying profit before tax of $95m for the year ended 30 June 2012. The result was materially impacted by record high fuel costs ($4.3bn, up $645m) and industrial action culminating in the grounding of the Qantas fleet ($194m). There were also one-off costs of $398m, which are not included in Underlying PBT, as the Group initiated a turnaround plan for Qantas’ international network and addressed its legacy cost base. As a result, the Group reported a statutory loss after tax of $244m for the year. All parts of the Group were profitable with the exception of Qantas’ international network. Jetstar and Qantas Frequent Flyer achieved record results and Qantas’ domestic operations outperformed the prior year. The Group holds a leading position in the Australian domestic market while Jetstar continues to expand in Asia, including through the successful launch of Jetstar Japan. In line with previous market guidance, Qantas’ international network made an underlying EBIT loss of approximately $450m and Qantas and Jetstar’s domestic networks together delivered underlying EBIT of approximately $600m.