The Qantas Group maintains its commitment to customer experience and fleet expansion, achieving a AU$1.25 billion underlying profit before tax in the first half of FY24. Earnings, although 13% lower than the corresponding period in FY23, reflect a normalisation in fares and capacity.
The decline in earnings is attributed to lower fares impacting revenue per available seat kilometre by approximately AU$600 million, alongside a AU$146 million reduction in freight yields. However, increased flying contributed AU$485 million and the unwinding of post-COVID restart transition costs added AU$179 million to mitigate these challenges. Notably, unit costs (excluding fuel) experienced a year-on-year decrease of 5.2%.
With total flying increasing by 25% on an available seat kilometre basis, the Group transported 3.3 million more passengers compared to H1 FY23. Despite ongoing normalisation, travel demand remains robust across all sectors, with leisure leading and business travel approaching pre-COVID levels. Qantas Frequent Flyers have expressed strong intent to spend on travel over the next six months, surpassing other major spending categories.
In addition to financial performance, the Qantas Group has unveiled significant customer-focused investments. Highlights include the revelation of interiors for new A220 aircraft, an expedited rollout of Wi-Fi on international flights, a major digital platform upgrade, and the launch of a double Qantas Points/Status Credits offer for Frequent Flyers, complemented by regular domestic and international fare sales.
Emphasizing its commitment to its workforce, the Group heavily invests in recruitment, training, and career opportunities associated with new aircraft. Recognizing employee efforts, around 24,000 non-executive staff members will receive a AU$500 staff travel voucher, further enhancing access to already discounted standby fares for Group employees, their families, and friends. (£1.00 = AU$1.93 at time of publication).