Qantas is too confident it will return to 100% of its pre-Covid capacity following year

February 24, 2023: Qantas CEO Alan Joyce says the airline expects a total return to pre-Covid capacity in 2024.

“We’re confident that we’ll be backing 100% of our pre-Covid international capacity, and well more than 100% for our domestic capacity,” Joyce stated for the financial year 2024.

″There is robust demand in leisure, in business in corporate,” adding that the pent-up market will continue for some time.

Qantas reported the half-year profits in the six months that ended December 2022, but shares still closed 6.8% lower on Thursday.

The flagship carrier recorded an underlying profit before tax of 1.43 billion Australian dollars in the half-year that ended December 31. It marks a reversal from a A$1.27 billion loss in a similar period a year before.

In its revenue release, the airline reported that the key drivers for the results were robust travel demand, higher yields and cost surges from the Group’s A$1 billion recovery agenda, which is nearing completion.

The road to 100% pre-Covid capacity will only be with turbulence; the CEO saJoyce said that the significant roadblock for Qantas is the supply chain related to air said.

“We’re getting the new 787s that come in the coming few months; they are two years late,” he stated. This is in reserve to the time taken to activate their A380 fleet, which he said requires a lot of maintenance.

“Every maintenance facility worldwide is full as every airline is trying to get their aircraft backing up and running.”