Anthony McDonald

Huge numbers.

And its fuel costs likely be up $800 million.

Up to $800 million, it reckons, in the six months to June 30th.

So, you know, if you're worried about the petrol price when you drive past a petrol station, Chase, just imagine what it's like if you're a Qantas CFO or treasurer and think about all the money going out the door.

Fair point.

Its profits obviously have been absolutely smashed.

It hedges against the oil price, doesn't hedge so much against the actual cost of the jet fuel, what it costs on top, like the margin.

And that margin has gone through the roof way more than the actual oil price has gone up.

So it's doing whatever it can to try and protect itself, protect its earnings and profits.

It's raising ticket prices, conserving capital, cutting capacity.

But you can't do any of those things quick enough or in the quantity large enough to be able to protect earnings.

So, I mean, the week ends with analysts saying Qantas is going to make about 10% less this financial year than they expected only a couple of months ago.

Okay.

But the airlines are cheeky, James.

They very carefully play with volume and price to try and manufacture the best outcome for themselves.

So Qantas is going pretty hard on volume.

So it's cutting capacity, particularly on the Jetstar side of the brand.

Maybe to take those cheap tickets out of the market,

Just to make sure the planes are more full of high-paying customers.

Every trip is sort of making more for them.