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This once-a-day flight from DFW Airport brings in over $400 million a year
That daily Airbus A380 flight over North Texas is more than a photo opportunity for plane spotters -- it’s bringing in more than $400 million a year for Australian carrier Qantas. (www.dallasnews.com) Más...Sort type: [Top] [Newest]
Doing God's work.
Revenue. Not profit. Because it brings money in, doesn't necessarily mean its a lucrative. Have to have the cost side in as well.
This didn't come from a paywall:
"The cost of operating a commercial aircraft can be broken down into two main categories: airborne cost and ground cost. The airborne costs are the actual costs of flying the aircraft; the ground costs are the cost of the airframe, engine maintenance, as well as airport and hangar expenses."
"A more detailed look at Qantas Airways flight offers a better understanding of typical costs. On a 14-hour A380-800 flight from Sydney to Los Angeles, the airline expenditures amount to $305,735; $11,414 in food and drink, $12,625 in staff pay and $37,157 in airport taxes and navigation services, and around $244,539 in fuel to fly the 484 seat plane. On a Boeing 777-300ER flight from Sydney to Los Angeles, the airline spends a total of $190,422. $9,652 in food and drink, $9,653 in staff pay, $31,117 in airport taxes and navigation services, and over $140,000 in fuel to fly the 361 seat plane on the 14-hour journey."
Source:https://www.opshots.net/2015/04/aircraft-operating-series-aircraft-operating-expenses/
"The cost of operating a commercial aircraft can be broken down into two main categories: airborne cost and ground cost. The airborne costs are the actual costs of flying the aircraft; the ground costs are the cost of the airframe, engine maintenance, as well as airport and hangar expenses."
"A more detailed look at Qantas Airways flight offers a better understanding of typical costs. On a 14-hour A380-800 flight from Sydney to Los Angeles, the airline expenditures amount to $305,735; $11,414 in food and drink, $12,625 in staff pay and $37,157 in airport taxes and navigation services, and around $244,539 in fuel to fly the 484 seat plane. On a Boeing 777-300ER flight from Sydney to Los Angeles, the airline spends a total of $190,422. $9,652 in food and drink, $9,653 in staff pay, $31,117 in airport taxes and navigation services, and over $140,000 in fuel to fly the 361 seat plane on the 14-hour journey."
Source:https://www.opshots.net/2015/04/aircraft-operating-series-aircraft-operating-expenses/
Something else to keep in mind, this link is from an article that was written 4 years ago, so the dollars and cents here would be those of 4 years ago. It mentions Jet-A costs of $1.21 a gallon. Jet-A is currently $5.25 per gallon but I'm fairly certain when you are Qantas or American Airlines buying thousands of gallons at once a pretty big discount is likely in order.
Don't forget maintenance costs...but if Qantas is making roughly $323,000 revenue per flight with A380, how much could they make using a triple 7 or A350?
Is the bird owned or leased? If owned, it makes send to use them on the higher revenue routes to offset the higher TCO. If leased, would it make sense to renew?
I was adding to your comment ie a D-Check, unless the "quoter" included that in cost of the airframe.Then added ,what I thot, was a logical question. If Qantas makes that revenue using a guzzler A380, how much could they make using a triple 7 or A350. For some reason, judging from the vote system, I presume those questions are not allowed to be asked.
If you select any number between 0 and 9, someone will down vote it. The dogs bark but the wagons roll on.
Would the net profit offset the costs of a warehousee whale?
Would the net profit offset the costs of a warehousee whale?
I would think that would depend on how much was paid for said whale. Yes it would make perfect sense using, in this case the A380 whale, on a higher revenue run. Now I'm wondering about United's 787-9 run IAH to SYD
This six-day-a-week flight from DFW Airport brings in over $400 million a year
International routes generate the most revenue for airlines, even with fewer flights.
By Kyle Arnold
7:00 AM on Oct 28, 2019
That Airbus A380 flight over North Texas six times a week is more than a photo opportunity for plane spotters — it’s bringing in more than $400 million a year for Australian carrier Qantas.
The DFW-to-Sydney flight is the highest-grossing flight from DFW International Airport, according to aviation data firm OAG. It’s one of nine flights that brought in more than a quarter-billion dollars between June 2018 and May of this year. It made $428 million for Qantas during the period.
The data from OAG shows exactly how lucrative those long-haul flights can be to carriers like Qantas and American Airlines. On Monday, American announced it will launch a new nonstop 15-hour flight from DFW Airport to Auckland, New Zealand, in October 2020.
It’s part of American’s growing strategy to connect U.S. passengers to the rest of the world through DFW.
Airlines have responded by adding more routes and seats for foreign-bound travelers. International traffic to and from DFW grew 30 percent between 2013 and 2018 to 8.74 million passengers, according to airport statistics.
Routes from DFW Airport to London and Tokyo can bring in as much revenue as flights to more frequent spots such as Los Angeles and Chicago. OAG doesn’t have data for Southwest Airlines, which doesn’t share its fare information as freely.
“The majority of the top 10 markets undoubtedly meet performance expectations, but it’s important to point out that highest-grossing doesn’t always equal highest profitability in the airline business,” said Will Berchelmann, director at Dallas-based Airline Data Inc. and Volaire Aviation Consulting. " In some situations, flights between an individual city-pair might lose money on a standalone basis, but they operate because of the positive revenue contribution they make to an airline’s network."
That’s the case for Qantas and American, which have a strong partnership and can use that Sydney to Dallas flight to connect passengers to hundreds of destinations in the U.S. and Australia.
Of course, the Qantas flight to Sydney has some advantages over competitors. First, it’s on an Airbus A380, one of the largest passenger airplanes in the world that can carry about 485 people. That’s nearly triple the passenger load of a 737. It’s also one of the longest nonstop flights in the world, taking 16 hours to fly to the Australian city.
The Qantas flight to the Land Down Under flies brings in about $628,000 per flight, nearly 3 times as much as higher-frequency routes to London Heathrow Airport or Los Angeles International.
American’s DFW-to-Heathrow route was the second-highest-grossing route with $421 million in revenue, but flying almost four times as often as the Sydney flight.
High-demand international routes are among the highest-grossing, at least per flight. The DFW-to-London flight brings in about $173,000 on each flight and DFW-to-Tokyo Narita Airport makes $197,000 per trip.
DFW’s most frequent flight, the American Airlines route to Los Angeles, ranked third with $324 million in revenue followed by American’s flight to Miami, with $317 million.
Another American hub in Charlotte was the fifth-highest grossing with $302 million in revenue.
“The bottom line is that the top-grossing markets are a reflection of the strong DFW hub, which has increasingly added more and more connecting passengers this year as American has expanded to over 900 daily flights,” Berchelmann said.