Qantas outlines international restart strategy, as group suffers $1.7bn loss
The Qantas Group has provided more detail on preparations for restarting its international flights, with plans linked to the vaccine rollout in Australia and key overseas markets.
On current projections, Australia is expected to reach the National Cabinet’s ‘Phase C’ vaccination threshold of 80 per cent in December 2021, which would trigger the gradual reopening of international borders.
Similarly, key markets like the UK, North America and parts of Asia have high and increasing levels of vaccination.
This makes them highly likely to be classed as low-risk countries for vaccinated travellers to visit and return from under reduced quarantine requirements, pending decisions by the federal government and entry policies of other countries.
This creates a range of potential travel options that Qantas and Jetstar are now preparing for, but the group noted that they will be adjusted accordingly if those assumptions change or dates move.
The group said flights to destinations that still have low vaccine rates and high levels of COVID infection will now be pushed out from December 2021 until April 2022, including Bali, Jakarta, Manila, Bangkok, Phuket, Ho Chi Minh City and Johannesburg.
It noted that travel demand – and therefore, capacity levels – will hinge largely on government decisions on alternative requirements to mandatory hotel isolation for fully vaccinated travellers.
Assuming current projections hold and the 80 per cent vaccine threshold is met in December, Qantas and Jetstar plan to trigger a gradual restart.
From mid-December 2021, flights would start from Australia to COVID-safe destinations, which are likely to include Singapore, the US, Japan, the UK and Canada using Boeing 787s, Airbus A330s, and 737s and A320s for services to Fiji.
Flights between Australia and New Zealand will be on sale for travel from mid-December 2021 on the assumption some or all parts of the two-way bubble will restart.
Qantas expects its ability to fly non-stop between Australia and London to be in even higher demand post-COVID.
The airline is investigating using Darwin as a transit point, which has been Qantas’ main entry for repatriation flights, as an alternative (or in addition) to its existing Perth hub given conservative border policies in Western Australia.
Five A380s will return to service ahead of schedule. These would fly between Sydney and LA from July 2022, and between Sydney and London (via Singapore) from November 2022.
The Qantas Group noted that the A380s “work well” on these long-haul routes when there’s sufficient demand, and the high vaccination rates in both markets would underpin this.
Qantas will extend the range of its A330-200 aircraft to operate some trans-Pacific routes such as Brisbane-Los Angeles and Brisbane-San Francisco. The group noted that this involves some technical changes which are now being finalised with Airbus.
Flights to Hong Kong will restart in February and the rest of the Qantas and Jetstar international network is planned to open up from April 2022, with capacity increasing gradually.
Qantas is also planning to take delivery of three 787-9s (new aircraft that have been in storage with Boeing) during FY23 to operate additional flights to key markets as demand increases.
Furthermore, Jetstar is set to take delivery of its first three Airbus A321neo LR aircraft from early FY23, the extended range of which will free up some of its 787s to be redeployed in other markets.
The unveiling of the airlines’ international restart strategy coincided with the announcement of the Qantas Group’s FY21 results, which revealed a $1.7 billion statutory loss after tax – slightly better than the $1.9 billion hit in FY20.
Overall revenue for the group slid 58 per cent to $5.9 billion in the 12 months to 30 June 2021, while underlying earnings before interest, taxes, depreciation and amortisation dropped a whopping 83 per cent to $410 million.
Qantas Group CEO Alan Joyce said the loss shows the impact that a full year of closed international borders and more than 330 days of domestic travel restrictions had on the national carrier.
“The trading conditions have frankly been diabolical,” he said.
“It comes on top of the significant loss we reported last year and the travel restrictions we’ve seen in the past few months. By the end of this calendar year, it’s likely COVID will cost us more than $20 billion in revenue.
“We’ve had to make a lot of big and difficult structural changes to deal with this crisis, and that phase is mostly behind us. As a result, we’re geared to recover quickly, in line with a national vaccine rollout that is speeding up.
“Things remain tough, especially for thousands of our people waiting to return to their jobs when borders open and hopefully stay open.
“Our focus is getting them back to work as soon as possible, which is why we were ramping up our flying and adding new destinations before the most recent lockdowns.”
Joyce said that despite the uncertainty ahead, the group is in “a far better position” to manage the COVID crisis than this time last year.
“We’re able to move quickly when borders open and close. We’re a leaner and more efficient organisation. And our requirement for all employees to be vaccinated will create a safer environment for our people and customers,” he said.
“When Australia reaches those critical vaccination targets later this year and the likelihood of future lockdowns and border closures reduces, we expect to see a surge in domestic travel demand and a gradual return of international travel.
“I’d like to specifically recognise everyone across this company for dealing with a huge amount of upheaval due to this crisis, and showing enormous commitment and professionalism in the process.
“Our people maintained an absolute focus on safety and on serving our customers, who have likewise been extremely understanding as we’ve all gone through this difficult period.”
Featured image source: iStock/PomInOz
Email the Travel Weekly team at traveldesk@travelweekly.com.au
airlines alan joyce financial results FY21 international flights international restart international travel jetstar qantas qantas groupLatest News
Alluna Motel, Armidale undergoes reimagining with Choice Hotels Asia-Pac
A little bit of country comfort is fine, but we like our modern conveniences, and a little style as well.
Ingenia Holiday Parks powers its very own EV Superhighway throughout NSW
Ingenia Holiday Parks has started plans to make it easier for electric vehicle drivers to explore Australia’s east coast with their expanded EV charging network. By the end of 2024, Ingenia Holiday Parks will have installed 44 new EV charging ports across 11 of its parks, enabling seamless travel from Brisbane in Queensland to Eden […]
Warrawong on the Darling’s new ownership and summer savings
Outback holiday retreat, Warrawong on the Darling, has new owners marking a new era for the cabin, van and camping park near Wilcannia, and released savings for summer stays and a free roast dinner on Christmas Day. Nestled by a pristine billabong on the Darling River and surrounded by sand dunes, far horizons, rugged open […]
Visit Sunshine Coast, Jetstar host Kiwi trade partners ahead of JQ Auckland-Maroochydore launch
Visit Sunshine Coast’s trade and international manager, Emily Zinowki, treated Auckland trade partners to a hosted lunch alongside Jetstar New Zealand. The lunch was in celebration of the imminent launch of the new JQ Auckland to Maroochydore direct service on 13 December. The year-round direct flights between Auckland and the Sunshine Coast are a first […]
Celebrity Cruises opens new 2026/27 sailing bookings
Celebrity Cruises has opened bookings for its exciting new 2026/27 sailings, including the Grand Voyage, a 110-night journey, and the longest without repeating ports for Celebrity. Aussies will be able to book fan favourite Celebrity Solstice as she returns to Australia in the 2026/27 season as part of Celebrity Cruises’ Grand Voyage. When they aren’t taking […]
ASIC to sue REX over allegations of deceptive and misleading conduct
What's that? An Aussie airline in legal trouble again... You guessed it.
ICC Sydney team and social impact initiative triumphs at ABEA inaugural awards
Top of the tree at an inaugural awards event? Great work again from the ICC Sydney team.
Heritage Line launches 2025 early bird discount
Boutique river cruise operator, Heritage Line, has launched an early bird discount with up to US$200 (around AU$313) off on bookings for 2025. The offer is available until 31 December, making it ideal for those planning to gift a trip to someone for the holidays or for those ready to plan their 2025 vacations. The […]
Tragedy at Bali’s Ubud Monkey Forest as tree collapse kills two
A freak event claimed the lives of two tourists at the popular Ubud Monkey Forest in Bali on Tuesday afternoon local time when a large tree branch collapsed. A 32-year-old French woman and a 42-year-old Korean woman were fatally injured. At around 12:30 pm a sudden storm with strong winds and heavy rain arrived with […]
Minor Hotels expands local portfolio with Brisabane’s Queen’s Wharf Residences
This edgy new landmark in Brisbane skyline caps off a big year for the not-so-Minor Hotels group.
Fiji Airways launches new, longest and first-ever direct service to DFW in Airbus A350
Are you a fan of long flights? We don't want any answers from those who turn left...
Taylor Swift closes largest grossing music tour ever, providing huge global tourism boost
With these kind of figures, Swift is a welcome guest!
Ignite Travel Group agents say Aloha with Hawaiian Airlines famil
From surfing to hiking and the odd cocktail (we're sure), Hawaii is a bucket list famil destination for many!
Tourism in Asia and the Pacific reaches 85% of 2019 levels
One billion people travelled the world so far this year! Expect the pointy end of 2024 to get hectic.
Dorchester and Cathay Pacific advisor promotion winners enjoy luxury fam in Rome and Milan
Winners of a Dorchester Collection and Cathay Pacific travel advisor promotion enjoyed a luxury fam in Roma and Milan where they were wined and dined before enjoying a stopover in Hong Kong. The winners, Hema Desai (Spencer Travel), Ani Aladjadjian (ATPI), Mimi Romijn (Wentworth Travel), Emma Neely-Bartlett (Travel Beyond Group), Nicole Reber (Mosman Travel), Steve […]
Virgin Australia reveals tips for smooth travel as it prepares for record breaking summer season
Our tip for ensuring smooth travel is simple, go solo!
Microsoft: Aussies rack up over half a billion hours in holiday season prep
If you are a travel agent, now is the time to pitch your services!
Mackay Airport flying high for festive season
Mackay is hot right now and expected to get hotter with more Virgin flights to Brisbane.
Minister for Jobs and Tourism John Graham adds two to Destination NSW Board
The end-of-year appointments keep rolling in!
Aussie legend Mick Fanning teams up with Airbnb and his Gold Coast SLSC for summer stay
They assure us this is NOT a competition, but we expect the site to crash around 9:58am AEST (NOT AEDT) next Wednesday.
Aviation earmarked as key issue by tourism carbon emission study, entire industry well behind key measures
It doesn't really come as a surprise, but some of the numbers sure are alarming.
Australians urged not to travel to Syria due to risks of kidnapping and air strikes
With the airport now shut, Aussies are being warned to stay clear of Syria given the volatile situation.
Crowne Plaza announces refurbishment of Sydney Airport property
Missed that flight - again! Then here's a place to rest your head, just make sure to set your alarm for AM.
Now THAT’S a wash! Destination British Columbia creates world’s first-ever immersive car wash
I mean...it definitely beats using a bucket and sponge outside the front of the house.
For guests in search of something different – Back-Roads Touring
After travelling with Back-Roads ourselves, we can confirm the merits of the road less travelled.
Jetstar launches Christmas Sale with 140,000 fares from $35
Who needs dinner for two when you can do flights to Byron for two for less?
What is Australia’s busiest airport and travel times during the festive period?
If you are travelling through Sydney Airport this Christmas don't forget your suitcase, passport and resilience.
Cruiseabout celebrates opening of fourth store at BNE’s Westfield Carindale
Four times lucky, isn't that how the four leaf clover works?
Lee Ho Fook chef Victor Liong adds another chapter with new offering Singapore’s Quenino Artyzen hotel
Melbourne chef Victor Liong, of the two-hatted Lee Ho Fook, has added to his culinary storytelling with Quenino by Victor Liong, in Singapore’s Artyzen hotel, where contemporary Asian cuisine is served with a relaxed fine-dining flair. Artyzen Singapore emerged from an iconic Singapore heritage landmark that was once the sprawling tropical-garden mansion named “Villa Marie” […]
ATIA and Australian Travel Education to pursue individual paths
We look forward to new announcements for much-needed travel trade education programs next year. Where do we sign up?
Japan’s Nagano region looks to attract more tourists during the warmer months
We've tried the icy side of Japan's Nagano, but old knees make spring/summer look increasingly attractive.
Cruise Traveller launches special two-week cruise through the Adriatic with Atlas Ocean Voyages
We think they call these epicurean cruises 'walk on, roll off'.
Tolpuddle Vineyard opens Tasting Room in Coal River Valley
Tolpuddle Vineyard is opening its Tasting Room at their Coal River Valley property in Richmond, Tasmania, this Friday, 13 December. The Tolpuddle Vineyard Tasting Room, managed by Pip Anderson, previously general manager of hospitality at Mona, will be open from Friday to Monday, 11am to 5pm with appointments available online. Visitors can taste a flight […]
Air Tahiti Nui celebrates big wins with 2025 APEX awards and Cash & Miles Program
Air Tahiti Nui has again been recognised for service to travellers being honoured with the prestigious Five Star Major Airline title for the 7th consecutive year. Announced at the APEX/IFSA Awards 2025 ceremony, the ranking is based on passenger reviews of over one million flights and 600 airlines. The flagship carrier of The Islands of […]
The future is here! Travel DAZE is back for 2025
Check out all the details for the 2025 Travel DAZE here! It is not one to miss!
Mandarin Oriental Hotel Group set to sign two iconic European hotels by early 2025
Whether you like your caffeine from a classy Parisian cafe, or a hazy Dutch coffee shop, Mandarin has you covered.