Australian airline Qantas announced on Thursday that it has returned to profit since mid-2022, welcoming this recovery after three years of significant losses due to the Covid-19 pandemic. Qantas made a profit in the second half of 1.43 billion Australian dollars (918 million euros) before tax, after accumulating losses of 7 billion Australian dollars in the previous three years.
The head of the company, Alan Joyce, stated that the increase in demand has improved the company’s situation, while announcing a share buyback plan for 500 million Australian dollars (320 million euros).
A rebound at the cost of layoffs by the thousands?
Qantas has been criticized by the Australian Transport Union for laying off thousands of employees at the height of the pandemic in a bid to contain costs. Alan Joyce estimated that this restructuring, which allowed Qantas to save close to one billion Australian dollars (640 million euros), was decisive for the company to rebound. “When we restructured the business at the start of Covid, it was to make sure we could bounce back quickly when traffic picked up,” he said. […] Indeed, this is what happened, but it is the strength of the demand that is at the origin of such a solid result”. The very high prices charged by the company after the reopening of the borders provoked the anger of its customers.
Air New Zealand also announced on Thursday that it had returned to profit, posting a pre-tax profit of €175 million. According to the New Zealand company, this rebound reflects the resumption of business and tourist trips abroad since the country’s borders fully reopened last July.
Source: BFM TV
