Qantas posts profit recovery after year of huge cost cuts

David Stuart

THE nation's biggest airline has posted a marked turnaround in its fortunes, reporting a $206 million profit after tax on Thursday.

In its half-yearly financial results, Qantas also reported a significant $367 million underlying profit before tax for the six months to December last year.

The return to profit follows the airline's poor $2.8 billion loss reported in the 2013-14 full-year results.

Those results came as Qantas chief executive Alan Joyce began a controversial $2 billion cost-cutting exercise, which seems to helped turn around the airline's fortunes.

Changes involved in the company's "transformation" program included cutting 5000 jobs, while lower fuel prices, reduced depreciation and "increased revenue per available seat kilometre" were instrumental in driving profits during the six months to December.

Mr Joyce said it was clear that without the changes the airline would not have been able to announce a profit on Thursday.

He said the company's employees had worked hard on the program and "deserve great credit for this result".

Topics:  business profit qantas

Stay Connected

Update your news preferences and get the latest news delivered to your inbox.

EXCLUSIVE: Juanes, the Latin heartthrob coming to Bluesfest

ON STAGE: Juanes performs at the 2018 MusiCares Person of the Year tribute honoring Fleetwood Mac at Radio City Music Hall on in New York.

He has sold 15 million records and won 20 Latin Grammys

Helping out our Younger Heroes

HEROES: Damien Schofield with some of the attendees at the most recent Younger Heroes camp at Mount Warning

Yonger Heroes score bank award.

These Vampires live on jazz

MUSICIAN: Alex Boneham.

The Australian Music Prize nominated jazz-world band play this week

Local Partners