The economic contribution of the Qantas Group to Australia in FY16 has been saved
The economic contribution of the Qantas Group to Australia in FY16
Measuring its role in the national economy
Deloitte Access Economics has completed an economic study for Qantas Australia of their contribution to the Australian economy in FY16. This updates previous work from FY15.
As the national carrier, Qantas plays a key role in the Australian economy, both as an employer and as a provider of transport services for both passengers and freight.
Deloitte Access Economics was commissioned by the Qantas Group to undertake an economic study of the Qantas Group’s contribution to the Australian economy for the financial year (FY) 2016. This contribution analysis is an update of a study completed for FY 2015. This contribution is modelled at the national level and reported in terms of value-add and employment (FTEs). Similar to the previous report, values have been disaggregated across Qantas Group’s business units of Qantas, Jetstar and Qantas Freight.
The direct economic contribution for Qantas Group in FY 2016 was $6.8 billion. Similar to the contribution for FY 2015, the majority of this economic value-add was a result of the Qantas business unit, making up 77% of the total direct contribution. Jetstar accounted for 20% of direct value added, while Qantas Freight’s share of direct contribution was 3%. The direct economic contribution of the Qantas Group increased by $882 million or just under 15% from FY 2015, reflecting improved profitability for the Qantas Group.
Combining the direct and indirect measures, the total economic contribution of Qantas Group to the Australian economy for FY 2016 was $11.5 billion. As a share of Australian GDP, this represents 0.7% of total economic activity in Australia. This is a significant share for a single firm, with the direct economic contribution of the Qantas Group being similar to the direct value added by industries such as broadcasting and rail transport.