Qantas Airways Limited (ASX:QAN) Reports Strong Half-Year Results
Financial Performance
Qantas Group achieved an underlying profit before tax of $1.39 billion, an 11% increase, and a statutory profit after tax of $923 million, up 6%, for the half year ended 31 December 2024. Underlying EPS was up 21% to 63cents. The growth was driven by the Group’s dual brand strategy, with Qantas and Jetstar carrying almost 10% more customers.
Investment in Fleet Renewal
The Group is investing in fleet renewal, adding 11 new aircraft and 5 mid-life aircraft in 1H25. Jetstar’s new Airbus A321LRs and A320neos have expanded the fleet to 21 aircraft, enhancing fuel efficiency and customer satisfaction. Qantas is also upgrading 42 Boeing 737 cabins with new cabins, including next-generation Business and Economy seats.
Dividend Declaration
For the first time since FY19, Qantas will pay dividends to shareholders, issuing a $250 million base dividend and a $150 million special dividend, both fully franked.
Executive Comments
Qantas Group CEO Vanessa Hudson stated, “Having a strong business means we can invest in our customers and our people, including our largest ever fleet renewal and cabin overhaul programs. Qantas and Jetstar made travel possible for more Australians, carrying 28 million customers, with around one third of Jetstar customers travelling for under $100 at a time of ongoing cost of living pressures.”
“The Group’s performance highlights the benefits of having both a premium and a low fares airline and a strong loyalty program.”
Motley Fool contributor Matt Burgess has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
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