Qantas Airways expects $3.75B fuel bill
Share
Key points
- Qantas Group updated its first-half fuel cost forecast, stating that elevated global oil prices will raise its first-half fuel bill.
- The business guided full-year net spending to the lower end of its target range.
- Management stated that active price and seat management will help offset rising fuel costs.
Qantas Airways (ASX:QAN) stated that its expected fuel costs for the first half of fiscal year 2027 will increase to approximately $3.75 billion.
The updated fuel cost estimate compares to the previous guidance of $3.6 billion issued during the full-year results presentation.
The group stated that annual net capital expenditure is now expected to land at the lower end of its $4.3–$4.6 billion range.
Following the announcement, the Qantas Airways share price was down at $9.29.
Total unit revenue across domestic and international operations is projected to increase by 8% to 10% in the first half.
The airline stated that fuel hedging remains at approximately 85% for the fiscal year to manage market volatility.
