Qantas Says Profits Slump as Fuel Costs Surge
The airline said a $420 million hit from the Middle East conflict and higher fuel prices outweighed stronger international demand.
- On Thursday, Qantas released its full-year earnings report, posting a $330 million fall in profit before tax as Group CEO Vanessa Hudson cited "record high fuel costs" from the Middle East conflict.
- The conflict in the Middle East drove a surge in fuel prices, adding $420 million to costs during the financial year despite management's efforts to mitigate through fare adjustments and aircraft redeployment.
- Qantas reported its fuel bill jumped by over $600 million, while underlying pre-tax profit fell to $2.06 billion, down from $2.39 billion in 2025.
- The Qantas Group Board approved a $300 million fully franked final base dividend; the airline cancelled a planned $150 million share buyback announced in February.
- Qantas Loyalty grew revenue and earnings by 12%, while the airline continues preparations for Project Sunrise, its plan to launch direct flights to London and New York.
25 Articles
25 Articles
Australian airline Qantas saw its profit in the past financial year fall to its lowest level in four years. The decline in profit was caused by higher fuel costs resulting from the sharp rise in oil prices due to the war in the Middle East.
Qantas Profit Falls Nearly 14 Percent as Middle East War Adds $420 Million Fuel Hit
Australian flag air carrier Qantas has reported a 13.8 percent fall in its underlying profit to $2.06 billion amid higher fuel prices and war in the Middle East. The company’s profit after tax fell 19.7 percent to $1.29 billion with higher jet fuel costs linked to the conflict cutting about $420 million from earnings. Chief Executive Vanessa Hudson said Qantas came through with a “strong result” despite the challenges. “The final four months of…
The Examiner
Qantas profit dips but Project Sunrise and fleet upgrades stay on track
Qantas' Project Sunrise direct London flights are on track for October 2027. Discover how the airline is prioritising new cabin upgrades despite a 19.8 per cent profit reduction.
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