Photo: Sebastian Kahnert/dpa-Zentralbild/dpa via AFP
By business reporter Kate Ainsworth, ABC News
Qantas has recorded an annual profit of $AUD1.7 billion ($NZD1.84b) in the last financial year, a dramatic turnaround from a loss of $860 million a year earlier.
Its preferred underlying pre-tax profit measure figure is $2.5b pre-tax, and comes after Qantas posted a $1.4b profit in its half-yearly results in February.
Its underlying pre-tax profit is in line with what the airline expected, telling investors in May it forecast a profit between $2.4b to $2.5b.
It is the first time since 2019 that Qantas has reported an annual profit, after three years of sustained losses during the Covid-19 pandemic which grounded the aviation industry.
Today's annual results for the airline are the last from Alan Joyce as CEO before he hands over to its chief financial officer, Vanessa Hudson, in November.
"These results show a substantial turnaround in both our finances and service over the past year," Joyce said.
"Flight delays and cancellations have largely returned to pre-Covid levels and we've shifted from heavy losses to a strong profit and pipeline of investment worth billions of dollars.
"Travel demand is incredibly robust and we've taken delivery of more aircraft and opened up new routes to meet it.
Joyce said customer satisfaction had "improved significantly", and the airline's staff had done a "superb job under very difficult circumstances".
Qantas also used its annual results to confirm the order of 24 aircraft, consisting of 12 Boeing 787s and 12 Airbus A350s, with deliveries expected in the 2027 financial year.
"It's because we're in a strong financial position that we're able to invest in new aircraft, new destinations and new training facilities - all things that will make us better in the future," Joyce said.
Bumper profits at a turbulent time
Qantas's annual results come after Joyce was summonsed to appear before the Senate Inquiry on the Cost of Living, after Qantas's offer of another executive was rejected.
The airline said forcing someone who is not a public official to appear before a Senate committee is unprecedented, but confirmed Joyce would attend.
He will appear before the committee next Monday, 28 August.
Qantas's earnings come at a turbulent time for the airline, after another year plagued by flight cancellations and delays, and unredeemed flight credits.
The airline has also been widely criticised for receiving $2.7b in taxpayer-funded government subsidies during the pandemic, including $855m in JobKeeper, $559m to maintain critical global supply chains, and $473m to repatriate Australian citizens overseas.
Secretary for the Transport Workers Union Michael Kaine said its profit should warrant the airline paying back the billions of dollars in taxpayer support to the government.
"Qantas owes a great debt to the Australian public. Every dollar of profit reported today should refund the public purse," he said.
"If Qantas won't pay it back, it should at the very least return quality jobs and service standards to the once-trusted airline."
Qantas has previously said it had no plans to repay the government subsidies, which it received when the airline was not profitable.
Its profit result follows a class action being lodged against Qantas on Monday by Echo Law for not refunding tickets for cancelled flights during the Covid-19 pandemic, claiming it was against Australian consumer law.
Qantas has rejected the allegations.
This story was originally published by the ABC.