Money & Banking
"Stark but not surprising": Qantas CEO reveals staggering loss
Qantas has announced they have had a $1.08 billion half-year loss, following their dramatic $6.9 billion plunge in revenue due to restrictive travel bans and rules.
The net loss before tax was $1.47 billion, however the airline will be able to offset part of that against future tax bills.
"These figures are stark but not surprising," Qantas chief executive Alan Joyce said.
"During the half we saw the second wave in Victoria and the strictest domestic travel restrictions since the pandemic began. Virtually all of our international flying and 70 per cent of domestic flying stopped, and with it went three-quarters of our revenue."
The airline remains hopeful and said they still have $4.2 billion in available cash to keep going until Australia's international border reopens and domestic travel ramps up to more normal levels.
Qantas is currently expecting international travel to resume more broadly at the end of October.
They have started selling tickets to the UK or US for travel as early as July.
The airline is hopeful of a "material increase" in trans-Tasman flying.
Unfortunately there has been a COVID-19 outbreak in Auckland that has seen several states already reimpose quarantine restrictions on New Zealand arrivals.
Qantas is hoping to have 60 per cent of pre-COVID domestic capacity by the end of March and 80 per cent by the end of June.
The airline is currently running at just 8 per cent of international capacity.
They are doing this through trans-Tasman and repatriation flights.
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