Qantas cutting domestic capacity in 2026 due to fuel costs

[Laptop Jockey]

I wonder whether Qantas should discontinue Sydney to Bengaluru and replace with Perth - Bengaluru.

Bangaluru is located west of Australia, and I think it would have better catchment and also faster turnaround rather than Sydney/Melbourne direct.

Potentially this should be the same for all Middle East/South Asia/Africa destinations from Perth instead of Sydney/Melbourne. Change at Perth for destinations west of Australia.

The issue is Indian routes are fairly price sensitive for the most part, and amply served by a multitude of carriers connecting via South East Asia. The only real edge Qantas has is that direct flight; forcing an equivalent connection in Perth and increase in total travel time just means the big Asian budget carriers like Air Asia and Scoot, as well as the full service carriers present a better deal, particularly for that market. That's always been a big part of the reason services to India from Australia were difficult to sustain, along with the difficulty of serving the multitude of cities within India from Australia as point to point, or relying on the poor domestic network, compared with a closer central hub like Singapore or KL.

 

[henrus]

I've had a MEL-AKL day flight next week cancelled 6 days out. Clearly they are continuing to cut flights as apart of this (including the tasman).

 

[CaptJCool]

Yea
Constantly expect some ongoing cancellations. When a flight is half filled, and that’s two or four (each direction) they can rationalise PAX into the one or other flights.

The last flight of the day though still needs a plane to be in position for the first outbound the following morning

 

[Melburnian1]

Yea
Constantly expect some ongoing cancellations. When a flight is half filled, and that’s two or four (each direction) they can rationalise PAX into the one or other flights.

The last flight of the day though still needs a plane to be in position for the first outbound the following morning

Maybe it won't cancel a poorly patronised flight if in the other direction the flight that aircraft forms has booked better.

Compared to a few weeks ago, media has gone quiet on the Strait of Hormuz closure. Tonight's Channel 7 news claimed Trump has said 38 times that the USA, Israel and Iran are 'close' to an agreed deal, but thus far AFAIK more than 1100 tankers and other vessels remain stranded.

Surely at some stage with less crude finding its way to Singapore refineries, Australia must be adversely affected by shortages of petrol, Jet A1 and most crucially, diesel? @Quickstatus , a penny for your thoughts!

 

[Laptop Jockey]

Just had multiple CBR-MEL flights changed from 1100 to 0600 two weeks out, again downsizing the aircraft.

 

[Saab34]

Know someone who had some JQ CNS-DPS flights cut and now pushed via Melbourne.

 

[AustraliaPoochie]

Imagine getting stuck in the middle of a trip!
Not so bad if they put you or me onto another flight, ie, that is an option of still getting a person to their final needed destination.
Imagine practically leaving someone stuck in a city that is not their home city in Aus.

 

[Melburnian1]

Consumer sentiment has continued to fall.

This can't be helping bookings at QF, VA or other airlines.

 

[mviy]

Consumer sentiment has continued to fall.

This can't be helping bookings at QF, VA or other airlines.

Hence a lot of sales and the unexpected 2nd DSC promo but just for flights closer to home.

If bookings remain low a 3rd DSC promo this year seems likely.

 

[Saab34]

It’s hard to tell who is suffering at the moment until we see any FY results in August. The Jetstar model is the most vulnerable during these times.

VA gave guidance that they expect a small hit but still positive earnings growth over last year. They haven’t come out with any further updates, you would think that guidance remains considering they had their fuel costs mostly hedged, the only surprises from that camp would be any demand suddenly falling off.

The test will be H1 FY27 results. That will somewhat show if the Virgin model in this new era is somewhat less vulnerable during these events compared to prior versions. I’d imagine they will be borrowing and firming up those refining margins as far ahead as possible while the Trump administration is in play. I assume they have been borrowing via Bain somehow to fund that, it’s a very costly exercise that has obviously paid dividends, I recall Hudson said they just have no financial capacity to do something similar (refining margins) due to the size of Qantas, cost is considerable and risk is obviously quite high also.