Alliance Aviation restructures Qantas agreement
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- Alliance Aviation Services restructured its wet lease contract with Qantas Airways, reducing active aircraft from 30 to 23 across FY27.
- ·Alliance Aviation Services' share price remained unchanged at $0.60 following the market update.
- The revised agreement introduces higher service pricing starting July to improve long-term profitability and operational resilience.
Alliance Aviation Services (ASX:AQZ) restructured its Qantas Airways (ASX:QAN) wet lease agreement, scaling back its dedicated fleet from 30 to 23 aircraft across FY27.
The company reaffirmed its FY26 underlying profit before tax guidance of $35 million to $40 million despite the reduced flying hours.
"This agreement improves the expected returns and cash flow for Alliance and demonstrates the strength of our partnership with Qantas,
said Alliance Aviation Services Managing Director Stewart Tully.
Alliance stated that the agreement introduces higher pricing from July 1 and will prompt workforce alignment consultations.
Following the announcement, the Alliance Aviation Services share price was unchanged at $0.60, while the Qantas share price stood at $10.60.
The aviation provider specialises in fly-in fly-out transport services for the Australian resource sector alongside contract charter operations.
The business previously expanded its operational capacity by acquiring Embraer E190 jets to service expanding regional networks.
