Three-Year Recovery Plan
Qantas Loyalty
•
Group cash contribution >$1b of gross receipts¹ in FY21
•
Diversified portfolio strategy delivering second half earnings growth²
Pre-COVID
FY21
FY20
FY19
Revenue8
$M
984
1,224
1,654
-
Spend on Qantas Points Earning Credit Cards returned to Pre-COVID levels³ in 4Q21;
Maintaining ~35% share of credit card spend
Early indicators of renewed credit card demand
500k+ members earning Qantas Points with bp Australia since partnership launch4
Cash Contribution¹
SM
1,006
1,231
977
Underlying EBIT⁹
$M
272
341
376
-
Record points redeemed in the Qantas Rewards Store and Qantas Wine; continued
growth in Qantas Insurance5
Operating Margin 10 %
27.6
27.9
22.7
QFF Members11
Σ
13.6
13.4
12.9
-
Travel related products continue to remain sensitive to border announcements; record
domestic flight redemptions in March 2021 indicate strong underlying demand
Growth in members and continued strength in member engagement; supported by program generosity, FY21 NPS at record levels
Increased availability of Classic flight rewards by up to 50% to the most popular destinations across Australia
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Greater flexibility provided to members using flight rewards by waiving change and cancellation fees
―
Status accelerator offer for Gold members of other loyalty programs - 20k members registering for the offer, new ways to earn on the ground
Relaunched Qantas Points Club increasing travel and lifestyle benefits - making earning points on the ground more rewarding
Continued investment in leading digital experiences and new businesses; integration of Qantas Loyalty within existing Qantas App from May 2021
Strong cash generation underpinned by record member engagement
100
1. Sales to all external parties. 2. 2H21 Underlying EBIT compared to 2H20 and 1H21. 3. Compared to corresponding FY19 period as a proxy for Pre-COVID performance. 4. Partnership launched in April 2020. 5. Health, Life, Motor and Home customers in force as at 30 June 2021 compared to 30
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June 2020. 6. As announced 14 July 2020. 7. Qantas Points Club relaunched May 2021. 8. Includes revenue from points sales to external partners, commissions received, revenue generated through Qantas Wine, Qantas Store, Qantas Shopping and points issued and redeemed on Qantas
Group and partner airlines. 9. During FY21, Qantas Loyalty reviewed the criteria applied in assessing the capitalisation of intangible assets. Due to the mix of projects undertaken during FY21, an increased proportion of spend has been expensed. This policy will apply for future periods and has
not impacted the Net Free Cash Flow result of Qantas Loyalty. 10. Operating Margin calculated as Underlying segment EBIT divided by total segment revenue. 11. Members at 30 June for corresponding period.View entire presentation