Qantas earnings: Profit up, higher dividends, and bigger fleet for FY26

Qantas Airways reports higher 1H26 profit, increases shareholder returns, and outlines ongoing fleet renewal and growth plans.

Laura Stewart

Author bio Laura Stewart is a Finance Editor at The Motley Fool, where she covers Australian and international equity markets. She joined the company in 2022, following a career transition from legal advisory work in Southeast Asia into the investment industry. Prior to her current editorial role, Laura spent three years as an Equity Analyst and Writer, producing investment research across the ASX, NYSE, and NASDAQ. Her coverage included small-cap growth companies, thematic investment ideas, and high-quality U.S.-listed businesses. Laura holds a Master of Applied Finance and brings additional expertise in accounting, taxation, and estate and wealth planning from her postgraduate studies. She also has a background in law and communications, which supports her analytical and reporting work in financial markets. Outside of work, she enjoys spending time in the Adelaide Hills with her flock of sheep. Education Laura holds a Bachelor of Laws, a Bachelor of Communication (Journalism), and a Bachelor of Commerce with majors in Accounting and Corporate Finance. In 2025, she completed a Master of Applied Finance at the University of Adelaide, receiving postgraduate awards in Accounting Concepts & Methods, Ethical Principles in Accounting & Finance, Real Estate Valuation & Investment, and Tax, Estate & Wealth Planning. Social media LinkedIn FYI – I am taking a break from social media at the moment, so this account isn’t active at the moment, but I will let you know when I rejoin. Favorite investment quote "Compound interest is the eighth wonder of the world. He who understands it, earns it... he who doesn't... pays it." — Albert Einstein

Published February 26, 9:18 am AEDT

The Qantas Airways Ltd (ASX: QAN) share price is in focus today as the company reported a $1,456 million underlying profit before tax for the first half of FY26, with revenue rising to $12.9 billion. The airline also boosted its fully franked interim dividend and announced plans for further shareholder returns, reflecting continued strong performance across its portfolio.

A woman stands on a runway with her arms outstretched in excitement with a plane in the air having taken off. — Image source: Getty Images

What did Qantas Airways report?

Revenue of $12.9 billion, up 6% from 1H25
Underlying Profit Before Tax of $1,456 million, up $71 million
Statutory Profit After Tax of $925 million
Underlying earnings per share of 68 cents
Net Debt of $5.6 billion, in line with target range
Interim fully franked dividend of 19.8 cents per share, plus up to $150 million share buy-back announced

What else do investors need to know?

Qantas reported growth across its domestic, international, and loyalty divisions. Domestic operations delivered a margin of 18%, while Qantas Loyalty membership and points activity both set new records. The company distributed $400 million to shareholders during the half and will increase its interim payout to $450 million, including an on-market share buy-back.

Fleet renewal and customer investment continued at pace, with delivery of nine new aircraft—supporting network flexibility, sustainability, and a lift in customer satisfaction scores. Qantas also expanded its frontline workforce and further invested in digital and sustainability initiatives, including carbon reduction programs and upgrades to the digital customer experience.

What's next for Qantas Airways?

The company is targeting further growth supported by strong travel demand and continued transformation benefits, aiming for a $400 million savings target in FY26. Qantas expects Group Domestic revenue per seat (RASK) to increase about 3% in 2H26, with additional international capacity coming online.

Looking further ahead, capital expenditure is planned to rise, supporting new technology aircraft deliveries and the long-haul "Project Sunrise" initiative. Qantas Loyalty is set to grow EBIT by 10–12% this year. Management says net debt will remain within the targeted range and sustainable, fully franked dividends are a focus.

Qantas Airways share price snapshot

Over the past 12 months, Qantas shares have risen 20%, outperforming the S&P/ASX 200 Index (ASX: XJO) which has risen 11% over the same period.

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