Qantas reaffirms profit guidance

Qantas announced (28-May-2010) profit guidance for the group remains unchanged. Qantas expects underlying profit before tax for the 12 months ending 30-June 2010 to be in the range of AUD300-400 million. The group also announced it has hedged 89% of its expected fuel requirement in FY2009/10 at a worst-case crude oil price of USD88 per barrel including option premium. At present rates, Qantas has 79% participation in falling oil prices for the remainder of the year. Qantas has hedged 50% of its expected fuel requirement in FY2010/11 at a worst-case crude oil price of USD90 per barrel including option premium. At present rates, Qantas has 84% participation in falling oil prices for the year. [more]