Qantas Airways Limited · ASX:QAN
Qantas Airways — H1 FY26 Earnings Presentation
70 slides from Qantas Airways's earnings presentation, Feb 26, 2026
Slide 1: Qantas Group HY26 Investor Presentations ASX cover letter
26 February 2026 ASX Market Announcements Office Australian Securities Exchange Limited Lodged electronically via ASX Online Qantas Group HY26 Investor Presentations Qantas Airways Limited attaches the following documents: • Qantas Group HY26 Investor Presentation; and • Qantas Group HY26 Investor P
Slide 2: 1H26 Results Investor Presentation
1H26 Results Investor Presentation 26 February 2026 Qantas Airways Limited ASX:QAN US OTC: QABSY
Slide 3: Disclaimer
Disclaimer Summary information IFRS financial information is unaudited and has not been There are many factors than can affect forward looking reviewed by the Group’s Independent Auditor. statements, including general economic conditions and This Presentation contains summary information about geopo
Slide 4: As we enter a new era
As we enter a new era for the Qantas Group, we remain focused on our customers, people and shareholders Our People Our Customers whilst delivering strong earnings growth to invest in the largest fleet renewal in our history Vanessa Hudson Group CEO Our Shareholders Our Community & Partners 3
Slide 5: 1H26 overview
1H26 overview Operating results Customer and People $1,456m • Strong performance across the Group’s integrated • 4 ppt uplift in reputation score3 from 1H25 Underlying Profit Before Tax portfolio • 5 pt uplift in Qantas NPS and 4 pt uplift in Jetstar • Operating cash flow of $1.8b NPS from 1H254 • S
Slide 6: Group 1H26 integrated portfolio highlights
Group 1H26 integrated portfolio highlights • Dual brand strategy drives segment success 1H26 highlights: Domestic and sustainable industry-leading margins • Ongoing narrowbody renewal Portfolio Segment EBIT3 ($b) with leadership positions across all key program including new Jetstar market segments
Slide 7: Our Purpose: Everyone feels proud to belong to the Spirit of Australia
Striving towards our purpose drives sustainable shareholder value Our Purpose: Everyone feels proud to belong to the Spirit of Australia OUR PEOPLE OUR CUSTOMERS Proud to belong and make a difference Proud to fly with us Passionate about our customers and Trust and depend on us to take care empowere
Slide 8: Investing in our People and Culture
Investing in our People and Culture Retention Listen and Act Building Capability Inclusion & Belonging December 2025 Group Attrition3 5.2% Stable over the past 6 months at 5.2% Reward Continuing Employee Share Program4 ~50% of eligible non- executives elected to ~$24M retain tax-exempt shares • Enha
Slide 9: Investing in our Customers
Investing in our Customers Leading ground experience Exceptional flying experience 1H26 performance Qantas Airlines Reputation (RepTrak Score) ‘Strong’ 64 70 category4 2Q25 2Q26 Airline NPS 1H25 1H26 • Opened new Auckland International Lounge and • New aircraft deliveries: Qantas 2x A321XLRs; 1H26 H
Slide 10: Investing in our Customers
Investing in our Customers Seamless digital experience Trusted to recover well Increased recognition for members More ways to earn Status Credits, improved recognition at different tiers and new lifetime milestones Flexibility to rollover Status Credits to count towards a milestone goal in the follo
Slide 11: 1H26 fleet investments continue to deliver value (new fleet)
1H26 fleet investments continue to deliver value for Customers & Shareholders NEW +7pt NPS Uplift1 44 NPS for 1H264 Larger overhead bins, in-seat power +60% baggage storage, 50% quieter JETSTAR QANTAS A321LR Up to 20% lower fuel burn2 A321XLR Up to 17% lower fuel burn2 Per seat on like-for-like sect
Slide 12: 1H26 fleet investments continue to deliver value (existing fleet)
1H26 fleet investments continue to deliver value for Customers & Shareholders EXISTING 45 NPS for 1H261 Enabled +13% WA market revenue Highest NPS for QF domestic fleet vs 1H25 QANTASLINK Vital role in connecting regional QANTASLINK Unlocks new routes for WA Q400 Australia A319 Perth - Newcastle and
Slide 13: Investing in our Community
Investing in our Community Growing careers, creating jobs Connecting and contributing to our regions Supporting our communities and building the economy Beach passports completed since People employed7 across the Invested through Resident Fare $40m Program in 1H261 >44,000 launch5; Qantas branded sh
Slide 14: Sustainability – Continued progress across key focus areas
Sustainability – Continued progress across key focus areas SAF Development Carbon Markets & Nature Operational Improvements Circularity • Commenced SAF uplift in LAX1; total • Sourcing 100% of domestic • Operational Efficiency Program • Eliminated over 9 million single-use 1H26 uplift 20 million lit
Slide 15: Strategic investment in Technology to deliver transformation value
Strategic investment in Technology to deliver transformation value Engaging Customers Optimising Operations Managing Performance and Risk • Disruption Management – Automated disruption • Waste Reduction – Data-driven catering platform • Revenue Management – Real-time pricing communication to custome
Slide 16: Financial Performance
Financial Performance CANTAS GROUP
Slide 17: 1H26 Group financial metrics
1H26 Group financial metrics Profit metrics (vs 1H25) Balance Sheet and Cash Flow metrics Key statistics vs 1H25 $1,456m +$71m $1.8b +3.9% +2.9% Underlying profit before tax Operating cash flow ASKs RPKs $925m +$2m $1.8b (0.8) ppts +1.5% Statutory profit after tax Net Capital Expenditure Seat Factor
Slide 18: 1H26 profit compared to 1H25
1H26 profit compared to 1H25 $m 1H26 Net Revenue 86 RASK v last year +3% Non-fuel cost 51 Group Domestic +3% Group International +3% Fuel cost 24 1H26 Loyalty2 35 ASKs v last year +4% Group Domestic +5% Net Finance Costs (10) Group International +3% SJSP (22) (89) Other (49) (191) 161 240 (10) (40)
Slide 19: 1H26 Total Unit Cost ex-fuel compared to 1H25
1H26 Total Unit Cost ex-fuel compared to 1H25 Ex-fuel TCASK (cents per ASK) Fleet related costs: Airline activity benefit from capacity growth enabled by new fleet offsets increase in Depreciation & Amortisation and EIS & Inefficiencies. Fleet +3% enabled fuel efficiencies not captured in ex-fuel TC
Slide 20: 1H26 movement in Net Debt
1H26 movement in Net Debt $m Net Cash from Operating Activities +$1,752m Financing cash impacts and FX ($414m) RRIA $ (134) m Aircraft payments $ (698) m Ground handling penalty $ (90) m Mid-life aircraft $ (169) m Other $ (114) m Capitalised maintenance $ (729) m Working Capital $ (338) m Non-aircr
Slide 21: Portfolio Results
Portfolio Results CANTAS GROUP
Slide 22: Integrated portfolio drives value beyond the businesses
Integrated portfolio drives value beyond the businesses Earnings Drivers Supported by Integrated Portfolio • Premium domestic and • Loyalty tiered status international travel • Loyalty Points earn and burn • Comprehensive network and Qantas • Jetstar supplementary connectivity network • Lounges • Co
Slide 23: Qantas Domestic
Qantas Domestic Revenue growth driven by strong demand and capacity growth 1H26 1H25 Change • +2% RASK growth on +4% capacity growth vs 1H25 as a result of: Revenue $M 4,211 4,010 5% – Business-purpose travel revenue grew by 6% driven by SME and Intra-WA resource market – Premium leisure revenue gre
Slide 24: Qantas International (incl. Freight)
Qantas International (incl. Freight) Revenue growth underpinned by ongoing strength of premium, point-to-point markets 1H26 1H25 Change • Continued demand strength across international markets Revenue $M 4,845 4,619 5% – +2% RASK growth on +5% capacity growth vs 1H25; continued strength of premium c
Slide 25: Jetstar Group
Jetstar Group Result driven by strong demand, capacity growth from efficient new fleet, transformation offsetting CPI, 1H26 1H25 Change operational improvements, with concerns on higher airport costs Jetstar’s Australian domestic network delivered $372m Underlying EBIT and 14% revenue growth Revenue
Slide 26: Case Study: Jetstar earnings growth driven by fleet investment and underlying demand
Case Study: Jetstar earnings growth driven by fleet investment and underlying demand Jetstar Group Underlying EBIT $m, 1H26 v 1H25 +52 Replacement Benefits2 • Including fuel efficiencies, lower maintenance, scale cost (6) 492 14 efficiencies and depreciation costs ~60% of Underlying Growth: A321LR &
Slide 27: Qantas Loyalty
Qantas Loyalty Program enhancements delivering increased engagement across the program and Qantas Group 1H26 1H25 Change • >2.5 million total Flight Reward seats redeemed in 1H26 using Qantas Points Revenue1 $M 1,400 1,174 +19% • Introduced Qantas Points and Status Credits earn on all eligible Jetst
Slide 28: Financial Framework and Fleet
Financial Framework and Fleet
Slide 29: Financial Framework continuing to deliver for all stakeholders
Financial Framework continuing to deliver for all stakeholders 1 Maintain optimal capital structure 2 ROIC > WACC through the cycle 3 Disciplined allocation of capital Base Dividend, grow Invested Capital with Minimise cost of capital by targeting a Net disciplined investment, return surplus capital
Slide 30: Strong Balance Sheet Settings
Strong Balance Sheet Settings Liquidity Total liquidity of >$12.6b as at 31 December 2025 • Financial Framework Net Debt target settings result in structurally higher sources of liquidity • Unencumbered assets include ~$7.3b of unencumbered aircraft (~65% of the Group fleet3), spare engines and othe
Slide 31: Structurally low Financial Leverage
Structurally low Financial Leverage Financial Framework delivers structurally low financial leverage Leverage3: Targeting at or below middle of Net Debt Target Range • At the middle of Net Debt Target Range1 expected to deliver Moody’s Net Debt/EBITDA2 outcome of ~1.5x – 2.0x through the cycle • Mai
Slide 32: Disciplined allocation of Capital
Disciplined allocation of Capital Ongoing review of Invested Capital allocation across the portfolio of businesses Continuous Review / Recycle Capital • Capital allocation framework consistently applied to maximise integrated value of the Group’s portfolio through the cycle Operating Cash Flow • Cap
Slide 33: New aircraft deliveries and fleet flexibility
New aircraft deliveries and fleet flexibility New aircraft deliveries1 Current fleet delivery status • The Group took delivery of 9x new aircraft in 1H26: 2x A321LRs, 1x A320neo, 4x A220-300s FY26 FY27 and 2x A321XLRs • In addition, 9x mid-life aircraft6 were delivered in 1H26: A350-1000ULR 4 Qantas
Slide 34: Project Sunrise and A350 establishing structural advantage
Project Sunrise and A350 establishing structural advantage Project Sunrise expected >$400m p.a. incremental 787-9 flying continues to show to launch in mid 2027 earnings delivered at scale Project Sunrise’s potential • A350-1000ULRs to deliver ultra • Earnings arise across three value pools: long-ha
Slide 35: Outlook
Outlook WAcantas croup
Slide 36: Outlook 2H26
Outlook 2H26 Business Outlook Financial Outlook • Strong travel demand across the portfolio. The evolving • 2H26 fuel cost at ~$2.5b3, inclusive of hedging and carbon economic environment in the US will continue to be monitored. cost4 and ~$35m of transformation benefit • Group RASK expected to incr
Slide 37: Outlook – Guidance Tables
Outlook Guidance Tables Capacity Guidance1 Commentary (vs prior corresponding period) 3Q26 4Q26 2H26 FY26 1Q27 Domestic Group Domestic +5% +4% +4% +4% +3% • Group domestic growing in line with demand, supported by the Qantas Domestic +5% +4% +4% +4% +4% introduction of new aircraft and redeployment
Slide 38: Glossary
Glossary Available Seat Kilometres (ASK) – Total number of seats investing cash flows included in the Consolidated Cash Flow RRIA – Revenue Received in Advance available for passengers, multiplied by the number of kilometres Statement and the impact to Invested Capital from acquiring or SAF – Sustai
Slide 39: XREANTAS GROUP /
XREANTAS GROUP / / / A
Slide 40: Thank you
YACANTAS GROUP Thank you
Slide 41: 1H26 Results Supplementary Presentation
1H26 Results Supplementary Presentation Qantas Airways Limited 26 February 2026 ASX: QAN US OTC: QABSY
Slide 42: Disclaimer
Disclaimer Summary information reviewed by the Group’s Independent Auditor. geopolitical developments and uncertainties, including This Presentation contains summary information about For definitions of non-IFRS financial information refer to global market conditions and demand; and legal, Qantas an
Slide 43: Group Performance
Group Performance Woantas croup
Slide 44: 1H26 Key Group Financial Metrics
1H26 Key Group Financial Metrics 1H26 1H25 Profit metrics Revenue $M 12,896 12,129 Underlying Profit Before Tax1 $M 1,456 1,385 Underlying Earnings per Share2 c 67.5 62.8 Statutory Profit After Tax $M 925 923 Statutory Earnings per Share c 61.3 59.9 Balance Sheet and Cash Flow metrics Rolling 12 mon
Slide 45: 1H26 Key Group Operating Metrics
1H26 Key Group Operating Metrics Change 1H26 1H25 (%) Unit Revenue (RASK)1 c/ASK 11.67 11.31 3.2% Total Unit Revenue (TRASK)1 c/ASK 16.23 15.87 2.3% Total Unit Cost1 c/ASK 14.40 14.09 2.2% Total Unit Cost (ex-Fuel)1 c/ASK 11.11 10.76 3.3% Available Seat Kilometres (ASK) M 79,446 76,438 3.9% Revenue
Slide 46: Items not included in Underlying PBT
Items not included in Underlying PBT $M 1H26 Comments The strategic restructure of Jetstar Asia and its related costs, including incremental accelerated depreciation of ($30) million and impairment of Closure of Jetstar Asia and related costs (47) ($7) million due to Jetstar Asia fleet redeployment
Slide 47: Reconciliation to Underlying Profit Before Tax
Reconciliation to Underlying Profit Before Tax $M 1H26 1H25 Statutory Items not Underlying Statutory Items not Underlying included in included in Underlying Underlying Net passenger revenue 11,063 – 11,063 10,474 – 10,474 Net freight revenue 707 – 707 671 – 671 Other revenue and income 1,126 – 1,126
Slide 48: Statutory Income Statement Detail
Statutory Income Statement Detail $M 1H26 Net passenger revenue up 6% Net passenger revenue 11,063 • Group capacity increased 4% from new fleet-related capacity with Group RASK up 3% • Group Domestic1 Unit Revenue up 3% Net freight revenue 707 • Group International2 Unit Revenue up 3% Other revenue
Slide 49: Statutory Other Revenue and Expenses Detail – Compared to 1H25
Statutory Other Revenue and Expenses Detail – Compared to 1H25 ($M) 1H26 1H25 Variance ($M) 1H26 1H25 Variance Other Revenue and Income 1,126 984 142 Other Expenditure1 1,928 1,739 189 Frequent Flyer marketing revenue and other Qantas Loyalty Cost to support revenue growth businesses up 18% • Increa
Slide 50: Corporate and Unallocated/Eliminations
Corporate and Unallocated/Eliminations Corporate 1H26 1H25 Change Unallocated/Eliminations 1H26 1H25 Change Underlying EBIT $M (135) (137) 1% Revenue1 $M (687) (573) (20)% Net finance costs $M (130) (120) (8)% Underlying EBIT $M (33) (26) (27)% Underlying PBT $M (265) (257) (3)% Includes investment
Slide 51: Unit Revenue and Total Unit Cost (c/ASK)
Unit Revenue and Total Unit Cost (c/ASK) TRASK 1H26 TCASK 1H26 Net passenger revenue $M 11,063 Underlying (Profit) Before Tax $M (1,456) Plus: Net freight revenue $M 707 Less: Total Revenue $M 12,896 Less: Share of net profit/(losses) of Plus: Other Revenue $M 1,126 investments accounted under the e
Slide 52: Continuous delivery of transformation benefits
Continuous delivery of transformation benefits 1H26 transformation highlights 1H26 191 $m Fleet renewal Freight product transformation Engineering productivity 161 Fare inventory optimisation Virtual reality flight training Qantas.com remediation A321XLR deliveries International Group Boarding Infli
Slide 53: New fleet technology to drive benefits over time
New fleet technology to drive benefits over time Legend: + Some EIS costs ++ Relatively higher EIS costs Material benefit Relatively greater benefit 1H26 transformation highlights Target financial benefits at scale Customer A321LR vs A220 vs A321XLR1 vs A321/A320-200 717-200 737-800 Modernised cabin
Slide 54: Revenue received in advance (RRIA)
Revenue received in advance (RRIA) Revenue received in advance ($b) 8.5 8.8 8.7 8.5 7.8 0.6 0.6 0.6 • Airline RRIA was seasonally lower in 1H26 (December 2025) 0.6 0.5 but experienced moderate growth relative to 1H25 (December 2024) 4.5 4.3 4.6 4.4 • Unredeemed Frequent Flyer revenue continued to gr
Slide 55: Financial Framework
Financial Framework Woantas croup 15
Slide 56: Return on Invested Capital (ROIC) Calculation
Return on Invested Capital (ROIC) Calculation 12 mths to 12 mths to • ROIC EBIT is derived by adjusting Underlying $M Dec 25 Dec 24 EBIT to exclude AASB 16 lease depreciation and Underlying EBIT 2,720 2,439 includes notional depreciation for leased aircraft as if they were owned Add back: Lease depr
Slide 57: Balance Sheet Summary under Financial Framework
Balance Sheet Summary under Financial Framework As at 31 As at 31 Invested Capital is defined as Net Assets adjusted $M Dec 2025 Dec 2024 for the following: Net Assets 1,349 743 • Exclusion of Cash and cash equivalents and Less: Cash and cash equivalents (1,856) (2,340) Interest-bearing liabilities
Slide 58: Net Debt Target Range
Net Debt Target Range • Net Debt target range = 2.0x — 2.5x EBITDA where ROIC = 10% • At forecast average Invested Capital of $7.4b1, optimal Net Debt range is $5.6b to $7.0b Forecast Jun 26 Drivers of Net Debt Range $B Forecast Invested Capital Avg Forecast Invested Capital for trailing 12 months 7
Slide 59: Net Debt movement under the Financial Framework
Net Debt movement under the Financial Framework $M 1H26 1H25 The Financial Framework considers aircraft leases as part of Opening Net Debt (5,029) (4,106) Net Debt Net cash from operating activities 1,752 2,073 • Aircraft leases are initially recognised in Net Debt at fair value Less: Net lease prin
Slide 60: Financial Framework versus Statutory Net Debt
Financial Framework versus Statutory Net Debt As at 31 As at 30 • Under the Financial Framework, aircraft leases are $M Dec 2025 Jun 2025 treated as capital acquisitions and recognised at fair value (through Net Capex) and a notional borrowing Interest-bearing liabilities 6,634 6,400 recognised as p
Slide 61: Financial risk management framework
Financial risk management framework Hedging program Principles of Financial Risk Management • Principles of financial risk management Reducing cash flow volatility in the short term through disciplined – Manage net cash flow impacts hedging program to allow for implementation of operational levers –
Slide 62: Robust financial risk management
Robust financial risk management Operational Fuel and FX Capital Expenditure FX – Hedging of USD Fleet Payments • 1H26 fuel cost at $2.6b • Hedging remains consistent with long term approach to risk – Inclusive of SAF premium and carbon credits management • FY26 fuel and FX hedging remain consistent
Slide 63: Carbon Costs – Carbon Credits and SAF Premium Costs
Carbon Costs – Carbon Credits and SAF Premium Costs Carbon Cost and Mitigations Compliance Obligations and Schemes Domestic Carbon costs include SAF premium to jet and carbon Safeguard Mechanism (SGM), Australia’s industrial emissions policy credits, which are both managed in line with broader requi
Slide 64: Supplementary Segment Information
Supplementary Segment Information 24
Slide 65: Qantas Domestic and International Overview
Qantas Domestic and International Overview Qantas Domestic Qantas International • Consists of Qantas Domestic and QantasLink • Consists of Qantas International and Qantas Freight • Multi-gauge domestic fleet uniquely positioned to serve Australian market • Globally recognised long haul carrier targe
Slide 66: Jetstar Group Overview
Jetstar Group Overview Jetstar Domestic Jetstar International and New Zealand Jetstar in Asia • Australian industry-leading LCC1 Jetstar International3 Jetstar Japan5 • Strong operational performance, customer service and profitability • Australian industry-leading LCC1 capitalising on • Qantas and
Slide 67: Diversification and growth at Qantas Loyalty
Diversification and growth at Qantas Loyalty Members Redemption Earn • Deliver everyday engagement between • Increase points earn through the flywheel • Large ecosystem for members to engage in members and the Qantas brand effect from growth in overall redemptions everyday earn – Market leading airl
Slide 68: 1H26 Group and Group Domestic Traffic Statistics vs 1H25
1H26 Group and Group Domestic Traffic Statistics vs 1H25 1Q26 1Q25 Change (%) 2Q26 2Q25 Change (%) 1H26 1H25 Change (%) Total Qantas Group Operations Passengers Carried ‘000 14,231 13,906 2 14,482 14,393 1 28,713 28,299 1 Revenue Passenger Kilometers M 33,501 32,219 4 33,757 33,118 2 67,258 65,337 3
Slide 69: 1H26 Group International Traffic Statistics vs 1H25
1H26 Group International Traffic Statistics vs 1H25 1Q26 1Q25 Change (%) 2Q26 2Q25 Change (%) 1H26 1H25 Change (%) Group International Available Seat Kilometres M 25,027 23,849 5 25,219 24,728 2 50,246 48,577 3 Group International Unit Revenue % 2 4 3 Change Qantas International Passengers Carried ‘
Slide 70: Glossary
Glossary Available Seat Kilometres (ASK) – Total number of seats returning leased aircraft. Refer to slide 19 for the calculation of Ticketed passenger revenue – Uplifted passenger revenue available for passengers, multiplied by the number of kilometres Net Capital Expenditure. included in Net Passe