Australian Carrier Qantas Soars To Record Profits

Fahad Shabbir (@FahadShabbir) Published August 24, 2016 | 11:14 AM

SYDNEY,(APP - UrduPoint / Pakistan Point News -24th Augst,2016) - Australian carrier Qantas Wednesday posted record annual profits and announced its first payout to shareholders in seven years, staging a turnaround after axing jobs and selling aircraft in an aggressive restructuring. Qantas' results were also boosted by the sharp fall in global oil prices and a less competitive domestic market that has given the firm a stable base of earnings. In contrast, other international airlines such as Cathay Pacific, ANA and Japan Airlines have seen profits plunge amid intense competition from lower-cost rivals and as terrorism fears eat into demand. Qantas reported a net annual profit of Aus$1.

42 billion (US$1.08 billion) in the year to June 30, an 80 percent increase from the previous corresponding period. Underlying profit before tax -- Qantas' preferred measure -- jumped by 57 percent to also hit a record of Aus$1.53 billion. The company resumed paying dividends of seven cents per share, the first payout since 2009 and announced a share buy-back of up to Aus$366 billion.

Qantas also said it would give a Aus$3,000 one-off bonus to some 25,000 staff who had signed up to a pay freeze. "These are fantastic results that we've had in the last year, as I said, record results for the group," chief executive Alan Joyce told reporters in Sydney.