Qantas’ Half-Year Results: A Bounce Back in Travel and Tourism
The airline’s half-year results show a significant improvement in its financial performance, with a profit of $1.36 billion, compared to a loss of $1.1 billion in the same period last year.
Key Factors Contributing to the Profit
Several factors contributed to Qantas’ strong financial performance, including:
Budget travel on the rise as cost of living crisis takes hold.
The Rise of Budget Travel
The cost of living crisis has led to a significant increase in demand for budget travel, with Qantas and Jetstar’s domestic and international businesses carrying almost 10 per cent more customers for the half-year until December 31. This trend is expected to continue, with many travelers opting for affordable options to stretch their budgets. Key statistics: + 10% increase in customers for Qantas and Jetstar’s domestic and international businesses + 35% increase in Jetstar earnings
+ Cost of living crisis + Increased competition in the market + Growing demand for affordable travel options
The Impact on Qantas and Jetstar
The rise in budget travel has had a significant impact on Qantas and Jetstar’s businesses. Qantas, the flag carrier of Australia, has seen a 10% increase in customers for its domestic and international businesses.
Qantas’ famous loyalty program also contributed to the healthy profit boost. Membership reached 17 million by December last year, an 11 per cent jump in customers. Around 13,000 classic reward seats are booked on average every single day through Qantas. “Australians have always loved to travel and continue to prioritise it over other spending options,” Hudson added. The airline’s net debt remained steady at $4.1 billion as of December 31. DOWNLOAD THE 9NEWS APP: Stay across all the latest in breaking news, sport, politics and the weather via our news app and get notifications sent straight to your smartphone. Available on theApple App StoreandGoogle Play.
