The result was a big turnaround on the $860 million loss the company suffered last year and Qantas said its $1 billion Covid recovery plan had been completed. The underlying pre-tax profit was $2.47 billion, which was in line with expectations.

It was the first statutory profit in three years during which it accumulated losses of $7 billion. It also was paid about $2 billion in taxpayer funds under the Jobkeeper scheme.

Qantas said there had been a 132 per cent increase in flying since last year and its operational performance had improved significantly after “a challenging ramp up” during which the company faced public hostility over delays and lost baggage.

“Customer satisfaction, while not back to pre-Covid levels, has also improved in line with operational performance,” the company said.

Qantas would also pay out $340 million in rewards to its 21,000 non-executive staff through shares in the company worth $6000 and $500 in travel credit.

Frequent flyers would also share in more than 1 billion bonus points.

Qantas’s outgoing chief executive Alan Joyce said the results were a substantial turnaround.

He said fares had peaked in the second quarter of 2023 as additional capacity, lower fuel costs and a stronger Australian dollar put downward pressure on costs. Fares fell by 12 per cent but domestic travel was still about 4 per cent higher than pre-Covid times after inflation adjustments. International travel was 10 per cent more expensive.

The airline said it had a strong balance sheet and trading conditions for 2024 were strong.

“Travel demand is incredibly robust and we’ve taken delivery of more aircraft and opened up new routes to help meet it,” Joyce said.

The company also announced it had ordered 24 widebody aircraft for delivery in 2027. They will replace the existing A330 fleet.