QF in the black and VA in the red

[cmon0005]

VIRGIN AUSTRALIA HOLDINGS LIMITED (VAH) - ASX Listed Company Information Fact Sheet

Virgin Australia records $98.1m loss

The company on Friday reported a net loss of $98.1 million for the year to June 30, compared with a $22.8 million profit the previous year.

Some have criticised QF's strategy but it has paid off so far (very small, but still better than all out loss), wonder whether this will continue to rise or slip back into the red?
VA has banked on Virtual networks, and trying to improve its offering, but is it really enough (or maybe too much?)
VA's revenue & yield seems to be healthy, will this continue?

 

[medhead]

Healthily revenue and earnings would seem to answer your question about virtual networks.

 

[777]

In a word: Sabre.

 

[markis10]

Healthily revenue and earnings would seem to answer your question about virtual networks.

Indeed, mentioned specifically was a 45% increase in codeshare revenue from the alliances.

VA's revenue & yield seems to be healthy, will this continue?

Both airlines are in reality making money off the regionals and charter business.

 

[MartinMemo]

I fell good about VA's report -It wasnt that long ago (last fy?) that QF were suffering mass unexpected loses with a grim forecast. As the economy settles down, I think it will be a good few years for both airlines. Most of my generation are now old enough and independent enough to pack a bag and head wherever they want for as long as they want; im seeing more and more long haul trips booked by friends, a rapid increase of trips to the asias, and a significant jump in domestic weekends away. I think once the people of my gen jump on to all this loyalty and status stuff it will mean good things for both airlines (at the moment they just fly whatever is cheapest).

 

[Standby]

Interesting the Sabre rev loss is mentioned as a 'cost' item which is clearly not the case by definition. I think the $90 M pro-rated loan facility
between NZ/EY&SQ says more about their current cash position in difficult operating conditions.
Spin it anyway they like,its a pretty poor financial result

 

[moa999]

Also on the - flipside VA Intl (admittedly only five planes) made a small profit, whereas QF Intl lost over $200m

 

[smit0847]

As someone said in another thread, VA would have lost plenty of money with savvy AFFers making the most of incorrect pricing and balances with the Sabre changeover.

Remember when the 2-4-1 balance was 'unavailable' for about a month?

 

[VHOEJ]

In a word: Sabre.

How long are they going to blame that? They will probably blame it again next year when they are reading the results

 

[markis10]

How long are they going to blame that? They will probably blame it again next year when they are reading the results

Given it was put in place in the second half of the financial year its perfectly OK to blame it, next year maybe not so much but lets cross that bridge then!

 

[samh004]

So they're 75% foreign owned (or the holding company that owns part of VA is - but in any case...)?!

 

[yohy?!]

carbon tax + multiple one time charges may be an accounting loss but in reality these factors will not exist going forward so all a beat up tbh

the qf figures are as many predicted here (doom and gloom for a year then miraculous recovery)