Financial and non-financial metrics

Our key performance indicators, including financial, environmental, social and governance.

Introduction

The Qantas Group is committed to transparency on key performance indicators, including financial, environmental, social and governance metrics. A three year history of performance indicators can be found below and a five year history is accessible in excel form.  

Economic integrity

Economic integrity from FY16 to FY18
Metric Unit FY18 FY17 FY16
Underlying PBT1 $M 1,604 1,401 1,532
Statutory PBT $M 1,391 1,181 1,424
ROIC2 % 22.0 20.1 22.7
Underlying Earnings per share3 Cents per share 64 55 53
Statutory Earnings per share Cents per share 56 46 49
Net free cash flow4 $M 1,442 1,309 1,674

Customer

Customer and Brand metrics for FY16 to FY18
Metric Unit FY18 FY17 FY16
On-time performance5 % 80 81.2 83.0
Brand preference6 % 76 74 72
Domestic NPS - Gap over major competitor7 Score 16 23 16.5

Safety

Safety metrics for FY16 to FY18
Metric Unit FY18 FY17 FY16
Total Recordable Injury Frequency Rate8 TRIFR 23.9 24.7 25
Lost Work Case Frequency Rate9 LWCFR 8.2 9.1 8.6
Duration Rate10 DR 76.9 66.7 56.9
Fatalities # 0 0 0

Community

Community metrics for FY16 to FY18
Metric Unit FY18 FY17 FY16
Total supplier spend11 $M 11,006 10,089 9,887
Australian supplier spend12 $M 7,039 6,603 6,395
Indigenous and Torres Straight Islander spend13 $M 2.4 1.6 1.0
Total community partnerships investment14 $M 4.4 3.7 6.8
Proportion of Australian and Torres Straight Islander investment15 % 17 32.6 41.0
Total Change for Good UNICEF donations16 $M 1.6 1.4 1.5
Total StarKids World Vision donations17 $M 1.1 1.7 2.6

People

People metrics for FY16 to FY18
Metric Unit FY18 FY17 FY16
Number of full time equivalent employees18 # 30,248 29,596 29,204
Percentage of employees under a collective bargaining agreement19 % 81.1 80.6 80
Voluntary employee turnover19 % 4.8 4.9 4.4
Percentage of women19 % 42.3 42.6 41.7
Percentage of women in senior positions19 % 35.3 35.0 34.0
Percentage of women on the Qantas Board19 % 36.4 30.0 30.0
Number of women on the Qantas Board19 # 4 3 3
Percentage of women recruited into the graduate program19 % 51.9 52.4 61.0
Number of Indigenous Australian employees19 # 381 384 369

Environment

Environment metrics FY16 to FY18
Metric Unit FY18 FY17 FY16
Aviation fuel consumption20 000 L 4,931,466  4,873,267  4,805,045 
Fuel per 100 RTKs (Group Efficiency)21 L 37.1 37.6 37.7
CO2-e emissions – Total22 tonnes 12,530,324  12,387,666  12,212,701 
CO2-e emissions - Scope 123 tonnes 12,392,244  12,248,233  10,070,474 
CO2-e emissions - Scope 224 tonnes 138,080  139,433  142,227 
CO2-e emissions – Domestic25 tonnes 4,455,205  4,503,746  4,569,452 
CO2-e emissions – International26 tonnes 8,075,119  7,883,921  7,643,249 
CO2-e per 100 RTKs (Group Efficiency)27 Kg 94.3 96.0 96.0
Electricity (Australia)28 MWh 168,807  169,466  172,092 
Direct waste to landfill (Australia)29 tonnes 21,292 20,635  21,972 
Water (Australia)30 000 L 895,100 902,545  973,611 
Natural gas (Australia)28 GJ 204,556  218,797  229,630 
Diesel (Australia)28 Litres 6,228,262  6,115,161  6,370,835 
Av. aircraft age - scheduled passenger fleet31 Years 10.3 9.6 8.6

Footnotes

Scope includes Qantas Airways Limited and controlled entities, including Qantas International (including Qantas Freight), Qantas Domestic, Qantas Loyalty, QantasLink, Network Aviation, Jetstar International, Jetstar Domestic and Jetstar Asia unless stated otherwise. The Consolidated Financial Statements for the year ended 30 June 2018 comprise Qantas and its controlled entities and the Qantas Group’s interest in investments accounted for under the equity method.

1 Underlying Profit Before Tax (PBT) is a non-statutory measure, and is the primary reporting measure used by the Qantas Group’s chief operating decision-making bodies, being the Chief Executive Officer (CEO), the Group Management Committee and the Board of Directors, for the purpose of assessing the performance of the Group. Underlying PBT is derived by adjusting Statutory PBT for the impacts of ineffectiveness and non-designated derivatives relating to other reporting periods and certain other items which are not included in Underlying PBT. For the reconciliation of Underlying PBT to Statutory PBT, refer to Note 1A to the Financial Statements in the Qantas Annual Report 2018.

2 Return on Invested Capital (ROIC %) is a non-statutory measure and is the financial return measure of the Group. ROIC is calculated as Return on Invested Capital EBIT (ROIC EBIT) divided by Average Invested Capital. ROIC EBIT is derived by adjusting Underlying EBIT to exclude non-cancellable aircraft operating lease rentals and include notional depreciation for these aircraft to account for them as if they were owned aircraft. Invested capital includes the net assets of the business other than cash, debt, other financial assets and liabilities, tax balances and includes the capitalised value of operating leased aircraft assets. Average invested capital is equal to the 12-month average of the monthly invested capital.

3 Underlying Earnings per share is calculated as Underlying PBT less tax expense (based on the Group’s effective tax rate) divided by the weighted average number of shares outstanding during the period.

4 Net free cash flow is calculated as operating cash flows less investing cash flows (excluding aircraft operating lease refinancing).

5 On-time performance as measured by the percentage of flights departing within 15 minutes of scheduled departure for Total Group operations including Qantas International, Qantas Domestic, QantasLink, Jetstar International and Jetstar Domestic, including Jetstar Domestic New Zealand.

6 Brand Preference — Best Products and Services indicates percentage of customers who agree with the statement ‘Qantas is focused on providing the best products and services to its customers’. Source: Brand Tracking Research (House of Brand Group).

7 Domestic operational NPS — Average Qantas Domestic Gap to Competitor, based on internal Qantas reporting.

8 Total Recordable Injury Frequency Rate (TRIFR): Lost time injuries per million hours worked. The total number of injuries or illnesses during work hours (1 July to 30 June) with an accepted workers’ compensation claim for Australian-based personnel, or equivalent in other jurisdictions, per million hours worked. Journey and slip port injuries are excluded from this calculation. This metric includes embedded contractors that work exclusively for the Qantas Group and perform work that is considered core business.

9 Lost Work Case Frequency Rate (LWCFR): Described as the total number of injuries or illnesses during work hours (1 July to 30 June) with an accepted workers’ compensation claim for Australian-based personnel, or equivalent in other jurisdictions, which resulted in total incapacity, per million hours worked. Total incapacity is defined as any injury or illness that results in an injured worker being unfit for work. Journey and slip port injuries are excluded from this calculation. This metric includes embedded contractors (as described above) and employees of majority-owned entities of the Qantas Group.

10 Duration rate indicates the average number of lost days per injury/illness with an accepted workers’ compensation claim for Australian-based personnel, or equivalent in other jurisdictions, resulting in partial incapacity or total incapacity. Partial incapacity means any injury/illness that resulted in an injured/ill worker being fit for work but at a reduced capacity. When considering lost time, Qantas Group injury metrics are calculated using medically certified calendar days, including partial days, for which the injured worker is unable to fulfil the duties for which they are employed (partial days are counted as one full day). Journey and slip port injuries are excluded from this calculation. This metric includes embedded contractors and employees of majority-owned entities of the Qantas Group.

11 Total supplier spend excluding payments processed through IATA clearing account and direct bank deposits for the purposes of aircraft lease payments.

12 Australian supplier spend where supplier headquarters are located in Australia.

13 Indigenous supplier spend includes suppliers that are Supply Nation registered or certified as well as known Indigenous suppliers. FY13/14 included one-off payments of $9m relating to carbon offsets.

14 Total Qantas community partnerships investment excludes donations facilitated through other areas of the business and voluntary logistical support provided to the Australian Government in times of crisis. The Group has transitioned from the Qantas Foundation into an internal Grant Giving program, managed by Good 2 Give. This transition has impacted the disbursement of cash from 2016/17 compared to 2015/16. Data for 2017/18 reflects the disbursement of grants donated to employees’ chosen organisations.

15 Proportion of total community investment donated to benefit Aboriginal and Torres Strait Islander communities.

16 Total UNICEF donations facilitated through Qantas’ Change for Good program.

17 Total World Vision donations facilitated through Jetstar’s StarKids program.

18 Total number of employees of majority owned entities of the Qantas Group as by employment type, full-time or part-time.

19 Composition of governance bodies and breakdown of employees per employee category according to gender, age group, minority group membership and other indicators of diversity is limited to total workforce of majority owned entities of Qantas Airways Limited broken down by gender, age group and Indigenous employees as well as women in the following positions: Non-Executive Directors and Senior Management. Gender diversity indicators are consistent with diversity policy and targets, measured as at 30 June 2017. Indigenous employees refer to team members who have identified as being Aboriginal or Torres Strait Islander.

20 The total volume of aviation kerosene consumed by the Qantas Group’s flying businesses from 1 July to 30 June. Scope: Aviation fuel consumption includes Qantas, Jetstar, QantasLink, Network Aviation, Jetconnect and Qantas Freight, for both domestic and international operations. Aviation fuel consumption does not include consumption by Jetstar Asia or codeshare partners.

21 Fuel per 100 revenue tonne kilometres (RTK). RTK quantifies Group fuel efficiency, described as the amount of revenue-generating payload carried, for the distance flown. Total number of tonnes of paying passenger, freight and mail carried, multiplied by the number of kilometres flown. Scope: Fuel per 100 revenue tonne kilometres (RTK) includes Qantas, Jetstar, QantasLink, Jetconnect, Network Aviation and Qantas Freight for both domestic and international operations.

22 Total direct and indirect greenhouse gas emissions measured in tonnes. The Qantas Group applies the NGA emissions factors and methodology for the calculation of CO2-e. Scope: All activities under the control of the Qantas Group.

23 Direct greenhouse gas emissions (Scope 1) measured in tonnes. Scope 1 emissions include aviation fuel and aircraft engine oil from international and domestic operations as well as ground fuel (unleaded petrol and diesel) from airport operations in Australia. The Qantas Group applies the National Greenhouse Accounts (NGA) emissions factors and methodology for the calculation of CO2-e. Scope: All activities under the control of the Qantas Group.

24 Total indirect greenhouse gas emissions measured in tonnes. Scope 2 emissions include electricity use from Australian facilities. The Qantas Group applies the NGA emissions factors and methodology for the calculation of CO2-e. Scope: All activities under the control of the Qantas Group.

25 CO2-e emissions — Domestic: Total direct and indirect greenhouse gas emissions measured in tonnes. The Qantas Group applies the NGA emissions factors and metholody for the calculation of CO2-e with the exception of aviation fuel. Scope: Australian operations.

26 CO2-e emissions — International: Total direct and indirect greenhouse gas emissions measured in tonnes. The Qantas Group applies the NGA emissions factors and methodology for the calculation of CO2-e. Scope: International operations.

27 Greenhouse gas emissions intensity measured in kilograms of CO2-e per 100 revenue tonne kilometres (RTK) converted to CO2-e tonnes by the NGA emissions factors. Scope: All activities under the control of the Qantas Group.

28 The total amount of electricity consumed as measured in megawatt hours (MWh), Natural gas measured in gigajoules (GJ) and diesel measured in litres (L) where separately billed to Qantas wholly-owned entities within Australia for the period 1 July to 30 June.

29 Total waste generated measured in tonnes, where this waste is delivered from Qantas premises directly to a landfill site and where the Qantas Group is responsible for the waste removal and is separately billed to Qantas wholly-owned entities by a waste service provider.

30 Total municipal water supplies withdrawn at metred Australian locations, measured in kilolitres (‘000 L) where water is separately billed to Qantas wholly-owned entities for the period 1 July to 30 June.

31 Average fleet age — scheduled passenger fleet is calculated by determining the average age of the Group’s scheduled passenger fleet based on manufacturing dates. Scope: The scheduled passenger fleet of the Qantas Group, including both owned and leased aircraft. The Qantas Group’s scheduled passenger fleet does not include dedicated freighters and Network Aviation F100 fleet.