- Qantas reported an underlying pretax profit of A$2.39 billion, slightly beating the estimated A$2.35 billion.
- The company’s net income amounted to A$1.61 billion.
- Revenue and other income totaled A$23.82 billion, close to the forecasted A$23.86 billion.
- Underlying EBIT reached A$2.64 billion.
- For Qantas Domestic, the underlying EBIT was A$1.06 billion, slightly below the estimate of A$1.09 billion.
- Qantas International exceeded expectations with an underlying EBIT of A$596 million against the predicted A$577.9 million.
- Jetstar’s underlying EBIT was A$769 million, surpassing the estimate of A$683.2 million.
- Qantas Loyalty recorded an underlying EBIT of A$556 million, just under the estimated A$563.1 million.
- Fuel costs were A$5.00 billion, lower than the expected A$5.16 billion.
- The operating margin stood at 11.1%.
- Return on invested capital was reported at -50.8%.
- The stock has received 10 buy recommendations, 5 holds, and 1 sell.
Qantas Airways on Smartkarma
Analyst coverage of Qantas Airways on Smartkarma reveals insightful perspectives on the company’s strategies and financial performance. Baptista Research, a reputable provider on the platform, recently published a bullish initiation of coverage report titled “Qantas Airways: How Are They Optimizing Revenue Through Market Demand Analysis & Yield Management?” The report highlighted Qantas Group’s impressive financial results for the first half of fiscal year 2025, showcasing a strong underlying profit before tax of $1.39 billion, a notable 11% year-on-year growth. With a solid 21% increase in underlying earnings per share, Qantas Airways appears to be in a robust financial position, driven by factors such as flourishing domestic and international travel demand, successful fleet renewal efforts, and impactful transformation initiatives.
A look at Qantas Airways Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 2 | |
| Dividend | 2 | |
| Growth | 5 | |
| Resilience | 3 | |
| Momentum | 4 | |
| OVERALL SMART SCORE | 3.2 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Qantas Airways Limited, a leading airline company, is positioned for long-term success based on its Smartkarma Smart Scores analysis. With a strong focus on growth and momentum, Qantas scored high marks in these areas, indicating a positive outlook for the company’s future expansion and market performance. The company’s robust growth strategy and positive market momentum are key factors that could drive its success in the coming years.
Additionally, Qantas received moderate scores for its value and dividend offerings, suggesting stability and reliability in these aspects. Its resilience score indicates a certain level of adaptability and strength in navigating challenging market conditions. Overall, with a solid mix of scores across different factors, Qantas Airways appears well-positioned to capitalize on growth opportunities and maintain its competitive edge in the airline industry.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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