An improved market and extra capacity boosted Qantas Freight’s earnings before interest and taxes by 48 percent year-over-year to $62 million in the financial year ending June 30.
The Australian carrier said its revenue rose 5 percent to $1 billion within the same period. Qantas Group's annual net profit doubled to $250 million but managers, who announced plans to cut 1,000 workers last week, warned that markets remained “volatile.”
Cargo capacity increased by 3.7 percent in fiscal 2011 as freighter operations were rolled out and a 767 Freighter was introduced on the carrier’s trans-Tasman routes. However, Qantas Freight’s overall load factor fell two percentage points over the year to 58.6 percent.
“Qantas Freight’s result reflects growth in capacity and improvements in yield built on the continuing recovery of the airfreight market,” said the carrier. “Excluding the impact of adverse foreign exchange, underlying yields have improved over the prior year, reflecting better market conditions and increased airfreight activity across the network.”
Contributions from the carrier’s joint venture businesses — Australia Air Express and Star Track Express — increased during the year in line with improved trading conditions in the domestic freight market.
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