News: QAN Qantas Says Has Entered FY24 With A Very Strong Balance Sheet

Aug 24 (Reuters) - Qantas Airways Ltd (QAN) :

• ORDER FOR 12 BOEING 787S AND 12 AIRBUS A350S ANNOUNCED
• HAS ENTERED FY24 WITH A VERY STRONG BALANCE SHEET
• TOTAL FUEL BILL FOR FIRST HALF OF FY24 IS EXPECTED TO BE A$2.6 BILLION
• GROUP DOMESTIC CAPACITY IS EXPECTED TO REMAIN ABOVE PRE-COVID LEVELS THROUGHOUT FY24
• GROUP INTERNATIONAL CAPACITY WILL CONTINUE TO RECOVER, ON TRACK TO RETURN TO 100 PER CENT OF PRE-COVID LEVELS IN 2H24
• FIRM ORDER FOR 24 WIDEBODY AIRCRAFT, CONSISTING OF 12 BOEING 787S AND 12 AIRBUS A350S
• APPROXIMATELY A$400 MILLION IN TRANSITIONARY COSTS INCURRED IN FY23 WILL UNWIND IN FY24
• QANTAS LOYALTY IS ON TRACK TO DELIVER ON ITS FY24 EBIT TARGET OF A$500 - A$600 MILLION
• FLIGHT DELAYS AND CANCELLATIONS HAVE LARGELY RETURNED TO PRE-COVID LEVELS
• QANTAS WILL PARTNER WITH AIRBUS AND BOEING TO ACCESS TO UP TO 500 MILLION LITRES OF SUSTAINABLE AVIATION FUEL PER ANNUM FROM 2028
• AS PART OF NEW ORDER, WILL PARTNER WITH AIRBUS AND BOEING TO ACCESS TO UP TO 500 MILLION LITRES OF SUSTAINABLE AVIATION FUEL PER ANNUM FROM 2028
• QANTAS LOYALTY UNDERLYING EBIT OF MORE THAN A$500 MILLION EXPECTED FOR CALENDAR YEAR 2023
• FARES PEAKED IN Q2 OF FY23 AFTER INCREASING DUE TO STRONG DEMAND AND INDUSTRY-WIDE SUPPLY CHAIN CONSTRAINTS
• BALANCE SHEET STRENGTH EXPECTED TO UNDERPIN FUTURE AIRCRAFT DELIVERIES AND SHAREHOLDER RETURNS
• AS AT 30 JUNE 2023, GROUP HAD LIQUIDITY SOURCES OF AROUND A$10 BILLION
• FLIGHT DELAYS AND CANCELLATIONS HAVE LARGELY RETURNED TO PRE-COVID LEVELS
• TRAVEL DEMAND IS INCREDIBLY ROBUST