QF tips $350M half yearly profit

[markis10]

Lots of help from the fuel price!

QANTAS is expecting to post an underlying net profit after tax of between $300 million and $350 million in the first six months of the 2015 financial year

Qantas tips $300m-$350m half year profit

 

[sydks]

$30m benefit from lower fuel prices during the period, so still a big turnaround even excluding the fuel! Also they say all the operating segments are profitable! Great to see!

 

[codash1099]

Sounds promising, but let's not get too carried away. After all the write-downs and write-offs, you'd expect things to improve. IMO the jury is still out.

 

[TomVexille]

Sounds promising, but let's not get too carried away. After all the write-downs and write-offs, you'd expect things to improve. IMO the jury is still out.

Yup. It does seem like a step in the right direction.

 

[samh004]

And they still have another 2 years or the program to go, so things should only get better. Lets just hope fuel prices stay low for a while

 

[Kendall Roy]

Obviously charging WPs for bulkhead seats helped! :evil::shock:

 

[moa999]

And the share price has rocketed to above $2.40

Decided to hit the bid and lighten on my holdings from about $1, been a good ride

 

[Himeno]

So when do they firm up the 787 orders?

 

[samh004]

So when do they firm up the 787 orders?

I would think when they announce QFi returning to profitability, not just the group as a whole.

 

[Ansett]

I would think when they announce QFi returning to profitability, not just the group as a whole.

It seems from the last couple of lines it already has.

The company said all parts of the airline were expected to be profitable at an underlying earnings before interest and tax level.

 

[eastwest101]

So when do they firm up the 787 orders?

When the exchange rate is totally against them ordering new aircraft and the wait for the production line slots is longer than it is now.....

 

[medhead]

And they still have another 2 years or the program to go, so things should only get better. Lets just hope fuel prices stay low for a while

Unfortunately oil will only stay low until the Saudis kill off the shale oil operations.

It seems from the last couple of lines it already has.

The company said all parts of the airline were expected to be profitable at an underlying earnings before interest and tax level.

IIRC QFi had to provide an appropriate return. No doubt that'll be rehashed to make sure badly need investment can be divert front QFi to JQ

 

[moa999]

When the exchange rate is totally against them ordering new aircraft and the wait for the production line slots is longer than it is now.....

Agree on the XR but reality is an aircraft will be funded mostly via a US$ loan and so cost is spread over 10+ yrs.
And QF has options with what I understand are confirmed slots on the 787s

 

[NFF]

Good news. I hope Virgin is doing the same.

 

[amaroo]

Unfortunately oil will only stay low until the Saudis kill off the shale oil operations.

Same tactics as Rio and BHP are using to choke their competitors.


Read more: Iron ore price fall a surprise

It hit a low of US$68.49 ($82.59) on November 26 and on Monday was trading at $US71.77.

Tinto's cash costs for producing iron ore are thought to be between $US18 and $US19 a tonne. Rio's break-even is around $US42 a tonne, which includes cash costs, government royalties, shipping, finance and other corporate costs. That compares with BHP which is understood to have a break-even point of about $US45 a tonne.

 

[clazman]

I see production changing from fines to lump ...to help with pricing

 

[JohnK]

Take away a few more benefits from Platinums, sell a few more lounge memberships and see how profitable an airline can be.