Qantas Airways CEO on Jet Fuel, Travel Demand, Industry Outlook

The transcript discusses the impact of fuel costs on airlines, particularly Qantas, and their hedging strategies to manage these costs. It also covers the minimal impact of the Ukrainian airspace closure on Qantas' flight paths. The conversation shifts to the recovery of the aviation industry post-COVID-19, with Qantas expecting a return to pre-pandemic levels by mid-year. The discussion concludes with Qantas' strong market position and potential earnings growth, despite risks such as fuel price volatility and new COVID-19 variants.

What is the largest cost for airlines according to the transcript?

• Maintenance

• Labor

• Fuel

• Marketing

How does Qantas manage the impact of high fuel prices?

• By cutting staff

• By increasing ticket prices

• By reducing flight frequency

• Through effective hedging strategies

What is the impact of the closure of Ukrainian airspace on Qantas?

• Minor impact on UK flights

• Significant impact on all flights

• Major impact on Asian flights

• No impact at all

Why might Australia see an increase in tourism during times of crisis?

• It is considered a safe destination

• It has cheaper flights

• It offers more luxury accommodations

• It has fewer travel restrictions

When does Qantas expect to return to 90-100% of pre-COVID levels domestically?

• Fourth quarter of the year

• Third quarter of the year

• Second quarter of the year

• First quarter of the year

What percentage of Qantas's international capacity is expected by the July quarter?

• 80%

• 70%

• 60%

• 50%

What are the potential risks to Qantas's financial outlook?

• Fuel price volatility and new COVID variants

• Increased competition

• Rising labor costs

• Decreased demand for air travel