Australia’s Qantas Airlines to Emerge From Covid-19 Stronger Than Ever

About This Source - Bloomberg QuickTake: Now

Bloomberg L.P. is a privately held financial, software, data, and media company headquartered in Midtown Manhattan, New York City.

It was founded by Michael Bloomberg in 1981, with the help of Thomas Secunda, Duncan MacMillan, Charles Zegar, and a 12% ownership investment by Merrill Lynch.

Recent from Bloomberg QuickTake: Now:

  • Milwaukee Bucks Celebrate Teams First Championship in 50 Years
  • China Floods: At Least 25 Dead, 100,000 Evacuated in Henan Province
  • Brisbane Selected as Host of 2032 Summer Olympics
  • Bloomberg Quicktake: Now published this video item, entitled “Australia’s Qantas Airlines to Emerge From Covid-19 Stronger Than Ever” – below is their description.

    While losses at airlines globally from Covid-19 are set to surpass $174 billion by the end of 2021 — wiping out half a decade of profits — Qantas has become one of the most financially secure carriers anywhere in the world. Its stock has surged 120% from a March 2020 low — almost double the return of the Bloomberg World Airlines Index — and its market value has swollen to A$8.9 billion ($6.7 billion). Qantas says net debt has peaked and it’s on track to deliver an underlying profit for the year ending this month.

    The 100-year-old carrier’s market position, Joyce declared on May 20, “is stronger than it has ever been.”

    Qantas’ muscular recovery from a crisis that was terminal for many of its peers is a tale of commercial opportunism and political guile. Australia’s improbable feat of almost eliminating Covid-19, not to mention subsidies for fliers, created a haven for air travel that Joyce has exploited to its fullest.

    Chief Executive Officer Alan Joyce’s springboard was Australia’s closure of its international borders in March last year. The government didn’t just stop visitors coming in — it also barred citizens from leaving. So within months, travel-loving Australians who’d normally jet off to Aspen or the Mediterranean started emptying their wallets at home in a domestic holiday bonanza.

    Qantas, by far Australia’s largest airline, was inevitably one of the biggest beneficiaries. The boost was turbo-charged this year when the government started subsidizing 800,000 half-priced airfares to support tourism. Air travel in Australia has become so popular that Joyce said in May demand was about to surpass even pre-Covid levels.

    “I don’t see any way Qantas won’t come out of this very strongly,” Ian Chitterer, a vice president at Moody’s Investors Service in Sydney, said in an interview. “You can’t imagine the opportunities would have presented themselves to the same degree were it not for the pandemic.”

    Joyce, 54, hasn’t held back. A former flight scheduler himself, he’s been busy orchestrating Qantas’s biggest network expansion in a decade, adding 45 routes during the pandemic.

    Sydney-Ballina is one of them. Ballina is a short drive from Byron Bay, the coastal town in New South Wales famous for attracting Hollywood A-listers like Chris Hemsworth and Matt Damon. Before Covid, Qantas hadn’t flown there from Sydney for 15 years. These days, the airline and its low-cost division Jetstar operate as many as 55 flights in and out each week to meet surging demand from Australians who can’t leave the country.

    A Tuesday evening flight from Sydney to Ballina this month shows how Australia’s near-elimination of Covid is working in Qantas’s favor. The 74-seat plane was more than 80% full for the 80-minute flight. That’s a benchmark for an airline at any time, let alone mid-week, out of season in chilly June, during a pandemic.

    Bloomberg Quicktake: Now YouTube Channel

    Got a comment? Leave your thoughts in the comments section, below. Please note comments are moderated before publication.

    In This Story: Australia

    Australia, officially known as the Commonwealth of Australia, is a sovereign country comprising the mainland of the Australian continent, the island of Tasmania, and numerous smaller islands. It is the largest country in Oceania and the world’s sixth-largest country by total area.

    7 Recent Items: Australia

  • France’s new controversial vaccine passport system | 7NEWS
  • Brisbane Selected as Host of 2032 Summer Olympics
  • Delta has hit Indonesia and Malaysia hard, so how are they dealing with it? | The World
  • Frustrated Fijians call for lockdowns as Delta variant grips the country | The World
  • Only one Delta case detected in PNG, but fears there could be more | The World
  • Indonesia extends emergency restrictions to fight second wave of COVID-19 | The World
  • Delta variant: Asia’s new crisis | The World
  • In This Story: Chris Hemsworth

    Christopher Hemsworth is an Australian actor. He first rose to prominence in Australia playing Kim Hyde in the Australian television series Home and Away before beginning a film career in Hollywood. He also played Thor in the Marvel Cinematic Universe series of movies.

    3 Recent Items: Chris Hemsworth

  • NSW braces for surge in COVID-19 cases, Victorians wait for lockdown announcement | 9 News Australia
  • 7NEWS Update – June 14: Queen’s Birthday Honours, thousands of VIC homes without power
  • Loki’s MCU Timeline So Far
  • In This Story: COVID-19

    Covid-19 is the official WHO name given to the novel coronavirus which broke out in late 2019 and began to spread in the early months of 2020.

    Symptoms of coronavirus

    The main symptoms of coronavirus are:

    • a persistent new cough (non productive, dry)
    • a high temperature (e.g. head feels warm to the touch)
    • shortness of breath (if this is abnormal for the individual, or increased)

    Latest News about Covid-19

    Below are stories from around the globe related to the 2020 outbreak of novel Coronavirus – since the WHO gave the Covid-19 naming. Most recent items are posted nearest the top.

    5 Recent Items: COVID-19

  • The CEO of the Tokyo Olympics is not ruling out a last-minute cancellation of the games | ABC News
  • Top sponsors pull out of Tokyo Olympics due to ‘nervousness’ amid COVID-19
  • Morning News NOW Full Broadcast – July 21
  • President of Metro TV: Mainstream media must be a clearinghouse to filter hoax information
  • 135 detained migrants test positive for COVID-19
  • In This Story: Matt Damon

    Matthew Paige Damon is an American actor, producer, and screenwriter. Ranked among Forbes’ most bankable stars, the films in which he has appeared have collectively earned over $3.12 billion at the North American box office, making him one of the highest-grossing actors of all time.

    3 Recent Items: Matt Damon

  • The Last Duel – Official Trailer (2021) Jodie Comer, Matt Damon, Adam Driver, Ben Affleck
  • The Last Duel | Official Trailer | 20th Century Studios
  • Tonight Show Box of Lies with Matt Damon and Adele
  • In This Story: Mediterranean

    The Mediterranean Sea is a sea connected to the Atlantic Ocean, surrounded by the Mediterranean Basin and almost completely enclosed by land: on the north by Southern Europe and Anatolia, on the south by North Africa, and on the east by the Levant.

    2 Recent Items: Mediterranean

  • Jeff Koons on juxtaposing the ordinary with the opulent • FRANCE 24 English
  • Company of Heroes 3 – Relic Talks Fan Involvement, Mediterranean Setting, and More
  • In This Story: New South Wales

    New South Wales is a southeastern Australian state, distinguished by its coastal cities and national parks. Sydney, its capital, is home to iconic structures such as the Sydney Opera House and Harbour Bridge.

    Population: 7.544 million (Sept 2014)

    3 Recent Items: New South Wales

  • Regional NSW COVID lockdown sparks panic buying and testing frenzy | 7NEWS
  • NSW COVID-19 update – 110 new COVID-19 cases, 43 infectious while in community | ABC News
  • Sydney builders urge early construction restart amid two-week shutdown | 7NEWS
  • In This Story: Sydney

    Sydney, capital of New South Wales and one of Australia‘s largest cities, is best known for its harbourfront Sydney Opera House, with a distinctive sail-like design.

    • Population: 5.23 million (2018)

    3 Recent Items: Sydney

  • Brisbane Selected as Host of 2032 Summer Olympics
  • Regional NSW COVID lockdown sparks panic buying and testing frenzy | 7NEWS
  • Sydney families of NRL players arrive in Queensland | 7NEWS
  • Leave a Comment