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Margins will continue to exceed pre-COVID levels Qantas Group forecasts
May 31st 2023
Australia’s Qantas Group said earnings before interest and tax (EBIT) margins for Qantas Airways and Jetstar will be sustained at well above pre-COVID-19 levels to June 2024. Read More » The company told attendees at its investor day presentations that Qantas domestic EBIT margins, a measure of passenger revenue divided by available seat kilometres, will be 18% in 2022-2023 and that this rate of return will continue throughout its 2023-2024 fiscal year. The pre-COVID-19 average domestic EBIT margin was around 12%. Jetstar domestic EBIT margins are predicted to be 10%-11% in 2022-2023 and 15% in 2023-2024 compared with 14% pre-pandemic. The airline group also is forecasting margin expansion on international routes operated by both of its carriers. “We are confident of reaching our fiscal year margin targets. We have set some ambitious but achievable earnings goals beyond that because we think ambition is key to long-term performance,” Qantas Group chief financial officer and CEO-designate, Vanessa Hudson, said.
