22-Jun-2011 11:49 AM

Qantas lowers profit guidance

Qantas announced (22-Jun-2011) it now expects to report underlying profit before tax for the 12 months ending 30-Jun-2011 in the range of AUD500 million to AUD550 million. The revision is a result of disruption from the Chilean volcano, a factor which remains a material variable to the group’s  FY11 result. Qantas said as of Monday 20-Jun-2011, the disruptions caused by volcanic ash were estimated to have cost the group AUD21 million. Given the continuing disruptions, Qantas has not provided a more specific guidance range at this stage. The group's shares have been placed in trading halt at its request , pending the release of an announcement by CEO Alan Joyce, expected to be made today 22-Jun-2011. Qantas shares will remain in trading halt until either the announcement or the commencement of normal trading on Friday 24-Jun-2011. [more]