Page 1

QANTAS 100 CELEBRATING 100 YEARS ( 1920-2020 ) ASX / Media Release • . ● • • QANTAS GROUP POSTS HALF YEAR LOSS ; FOCUSING ON CASH GENERATION TO REPAIR BALANCE SHEET Underlying Loss Before Tax : $ 1.03 billion Statutory Loss Before Tax : $ 1.47 billion $ 6.9 billion revenue impact from COVID - 19 crisis in HY21 ( down 75 % ) Underlying operating cash flow : $ 1.05 billion Total liquidity of $ 4.2 billion , providing capital for restructuring and buffer against uncertainty Domestic airlines generating positive underlying cash flow Losses in Qantas International offset by record Qantas Freight performance Continued strong cash generation by Qantas Loyalty • • Restructuring program on track to deliver $ 0.6 billion in cost benefits in FY21 • International flying now aiming to restart end - October 2021 Sydney , 25 February 2021 : The Qantas Group has continued to navigate the impacts of the COVID crisis as it positions the company for recovery and balance sheet repair . In the six month period – which covered Victoria's extended lockdown and nationwide border closures - the Group managed to limit a $ 6.9 billion drop in revenue into a $ 1.03 billion Underlying Loss Before Tax . The Group generated Underlying EBITDA of $ 86 million , reflecting the fundamental resilience of the portfolio . The Group's Statutory Loss Before Tax was $ 1.47 billion . This included further redundancy and restructuring costs of $ 284 million ( in addition to the $ 642 million provided for in FY20 ) and a further $ 71 million writedown of the A380 fleet in - line with its Australian dollar market value . CEO COMMENTS Qantas Group CEO Alan Joyce said : " These figures are stark but not surprising . " During the half we saw the second wave in Victoria and the strictest domestic travel restrictions since the pandemic began . Virtually all of our international flying and 70 per cent of domestic flying stopped , and with it went three - quarters of our revenue . " Despite the huge challenges , these results show the Group's underlying strength . " When we had the opportunity to fly domestically , we saw significant pent up travel demand and generated positive cash flow . " Qantas Loyalty still had significant income because the program has evolved to the stage where the vast majority of points are earned from activity on the ground . Qantas Freight had a record result and has been a natural hedge to the lack of international passenger flying , which has created a shortage of cargo space globally . " These factors couldn't overcome the massive impact of this crisis , but they have softened it . oneworld Qantas Airways Limited ABN 16 009 661 901 Further information and media releases can be found at the Qantas website : qantasnewsroom.com.au