News
Qantas Group flags deeper capacity reductions for domestic network
November 9th 2026
Qantas Group has flagged a 4% cut to capacity the three months to March 31 2027, compared with the same three-month period in the prior year, amid high fuel prices. Read More » The 4% figure, announced in a market update on Friday, is higher than the 2% capacity reduction announced at the company’s full year financial results release in August. Domestic capacity at Qantas Airways will be 5% lower than the prior year, up from 4% announced in August, while Jetstar Airways’s domestic capacity will be down 3%, compared with flat capacity guidance in August. "Demand remains resilient as customers continue to prioritise travel," Qantas Group CEO, Vanessa Hudson, told shareholders at the company’s annual general meeting on Friday in prepared remarks. "Domestic leisure demand also remains strong. Non-resources corporate and government travel remains stable, and we are continuing to monitor it closely." The airline group’s total fuel bill has been revised upwards to an expected A$3.75 billion (US$2.6 billion for the six months to December 31, from a previous estimate of A$3.6 billion. Hudson said the company was continuing to "adjust fares and capacity in response".
In other Qantas news, the airline is starting a new seasonal nonstop Sydney-Cape Town service between October 19 next year and March 24 2028, with the route to operate three times a week with 787-9 aircraft.