rex Celebrating 20 Years
Mick I have not quoted any J numbers for just that reason
I quote outbound MEL to all, then SYD to OOL BNE as outbound and inbound are usually pretty close
QF/JQ have certainly done more for REX than they realize and all the attacking and capacity dumping on REXs regional network has been outweighed ten fold their poor performance in recent times on mainline
I mean taking half a dozen pax of a SAAB verses seeing 80+% on 737s is a massive win for REX
All REX needs to do now is
Keep their birds on time
Get bags to their destination
Offer up decent galley selections
Have smiling staff greeting customers
Keep fares reasonable
Do these simple things and there is no doubt they will get to 30+ frames and be the true third option that the public have been looking for
QF/JQ is still a big chance of falling over as one thing JS said that I believe to be true, that they are trading whilst insolvent
If QF/JQ stopped trading tomorrow and cashed in their remaining assets, IMO, they would not be able to cover their liabilities
Leave
Super
FFPs
Unused vouchers
Debtors
Loans
Excluding leases....
I quote outbound MEL to all, then SYD to OOL BNE as outbound and inbound are usually pretty close
QF/JQ have certainly done more for REX than they realize and all the attacking and capacity dumping on REXs regional network has been outweighed ten fold their poor performance in recent times on mainline
I mean taking half a dozen pax of a SAAB verses seeing 80+% on 737s is a massive win for REX
All REX needs to do now is
Keep their birds on time
Get bags to their destination
Offer up decent galley selections
Have smiling staff greeting customers
Keep fares reasonable
Do these simple things and there is no doubt they will get to 30+ frames and be the true third option that the public have been looking for
QF/JQ is still a big chance of falling over as one thing JS said that I believe to be true, that they are trading whilst insolvent
If QF/JQ stopped trading tomorrow and cashed in their remaining assets, IMO, they would not be able to cover their liabilities
Leave
Super
FFPs
Unused vouchers
Debtors
Loans
Excluding leases....
There's a marked difference between having negative equity and trading while insolvent.
Just looked at Rex BNE-ADL in October. Yes, a very reasonable Business class fare …..if you don't mind taking 11 hours to get there with 7 hour+ transit in Melbourne.
The alternative was a Sydney transit that was a bit quicker but then, for me, the Virgin and Qantas J class fares on their direct services was comparable.
The alternative was a Sydney transit that was a bit quicker but then, for me, the Virgin and Qantas J class fares on their direct services was comparable.
Rex’s debt went up from FY 21 to 22 btw…..
They paid down debt from $1billion worth of assets sold and ticket receipts that were not used during the covid period. Hence why planes are full now in domestic at 75% capacity yet revenue is only 30% of pre-covid ($5billion this year vs $15 Billion pre covid). The sale of assets to remove debt leading to a worse NTA than when debt was higher as its a poor way to recover owed monies with fire sales of assets. Rex increase in Debt has barely affected its net tangible asset score because the debt was invested into company expansion and operations.
Can you just imagine how much cash QF/JQ are sitting on in pre sold tickets?
It truly showed where it was at when it could not refund presold tickets during covid, just offered up funny money vouchers
REX on the other hand gave cash back...
It truly showed where it was at when it could not refund presold tickets during covid, just offered up funny money vouchers
REX on the other hand gave cash back...
As at 30 Jun, $3.1b in advance tickets sold, pretty much pre-Covid amount. $1.3b in Covid travel credits. Credit usage at about $80m per month. It’s all in the financial statements.
Collingwood supporters take note. Rex shouldn't have any problem filling seats between Melbourne and Sydney and back this weekend coming.
$600 MEL-SYD economy on Friday, nothing on Saturday and then strangely from $299 Business Saver but $399 economy on return on Sunday.
Go Swannies!
$600 MEL-SYD economy on Friday, nothing on Saturday and then strangely from $299 Business Saver but $399 economy on return on Sunday.
Go Swannies!
I was listening on the radio this morning. There was a very interesting exchange-
DJ1 "My wife came back from Sydney yesterday; she was delayed two hours- she didn't fly REX"
DJ2-"Obviously"
They are getting a growing reputation for value and reliability.
DJ1 "My wife came back from Sydney yesterday; she was delayed two hours- she didn't fly REX"
DJ2-"Obviously"
They are getting a growing reputation for value and reliability.
They did last year, not sure what the point is, but QF has been well and truly caught out with its snout in the trough. The only payment Rex got without strings was the first one, which QF would have received if they were not trying to sink VA. They just waited for VA to fail and started taking the cash afterwards. Have to remember that the assistance is relative to the flying portion. The frequent flyer and freight divisions of QF were profitable all the way through the pandemic.
In any case if its legal its legal, if you ask and receive its up to the gov what strings it attaches and whether its a loan or gift. I could make up some silly thing to do a PHD on like studying if garden worms like beer and get government money. A good manager gets income from whoever offers. AJ played god with the lives of his own staff and those at VA by denying they needed assistance to sink the competition, otherwise both airlines would have received something, there's no doubt. AJ made it political, when it was a commercial imperative.
In any case if its legal its legal, if you ask and receive its up to the gov what strings it attaches and whether its a loan or gift. I could make up some silly thing to do a PHD on like studying if garden worms like beer and get government money. A good manager gets income from whoever offers. AJ played god with the lives of his own staff and those at VA by denying they needed assistance to sink the competition, otherwise both airlines would have received something, there's no doubt. AJ made it political, when it was a commercial imperative.
Doesn't really matter
If they can not provide the service, then cash back, if they didn't, there was a good reason, they didn't have the coin to do so
Only goes to prove that QF/JQ are living of pre-sale revenue (cashflow) covid forced them to play catch up and all they could offer was "store credit"
This is not a great way to run a business, on free credit.....
REX did not have this problem at it had and still has negligible debt
VA was caught out big time for worse reasons, but not dissimilar to QF/JQ but were a lot worse off to begin with
If they can not provide the service, then cash back, if they didn't, there was a good reason, they didn't have the coin to do so
Only goes to prove that QF/JQ are living of pre-sale revenue (cashflow) covid forced them to play catch up and all they could offer was "store credit"
This is not a great way to run a business, on free credit.....
REX did not have this problem at it had and still has negligible debt
VA was caught out big time for worse reasons, but not dissimilar to QF/JQ but were a lot worse off to begin with
Always informative getting financial analysis from someone who doesn't know the difference between negative equity and insolvency.
Could QF/JQ reimburse future flights that had been booked and paid for when the shutdown happened ?
Answer no....
Why ?
They expected things to just keep rolling along without interruption and all would be well
In the past they had assets to back up this "loan" from their customers, to a large extent, these assets no longer exist
And they still have a ton of "vouchers" to honour
This is a worry
