2249 GMT - The net impact of higher fuel prices on Qantas Airways's FY 2026 pretax earnings is some A$174 million, Macquarie estimates. Elevated crack spreads since the Iran conflict began are putting a dent in earnings from forward sold air tickets. Macquarie says it's too early to assess the impact on FY 2027 profit. Still, it's likely that higher oil prices and crack spreads continue into 1H. Qantas could raise ticket prices to offset higher fuel costs. "We anticipate Qantas will reduce costs with some flight consolidation, particularly for the U.S. where A380s are flying with lower load factors," Macquarie says. Its price target falls 3.3% to A$11.60/share. Qantas ended Wednesday at A$8.73. (david.winning@wsj.com; @dwinningWSJ)
(END) Dow Jones Newswires
March 18, 2026 18:49 ET (22:49 GMT)
Copyright (c) 2026 Dow Jones & Company, Inc.