What is Virgin Australia's strategy (post-administration)?

[Mattg]

Looks like the SYD-APW route is now scheduled as a day flight, rather than a horribly timed redeye. Still beginning in late March.

BNE-APW is still a redeye.

 

[Harrison_133]

Looks like the SYD-APW route is now scheduled as a day flight, rather than a horribly timed redeye. Still beginning in late March.

BNE-APW is still a redeye.

BNE-APW has also been increased to 2x weekly flights.

 

[jase05]

I’d rather VA sort their lounge access out for International flights before adding new routes or increasing others.

 

[jakeseven7]

I’d rather VA sort their lounge access out for International flights before adding new routes or increasing others.

With their new positioning, I think the feeling that is not really a priority for them...

 

[Quickstatus]

Flights are where the $$ is generated.
But one can't necessarily exist without the other. However, if VA is targeting a certain market, maybe lounges are not a huge imperative and it may be more cost effective to piggyback onto other lounges. The success of VAustralia 777 SYD-LAX really did not depend on lounge quality.

QF never operated its own lounges in every port. Some of those lounges are third party and were never any good. SFO was one.

 

[jase05]

With their new positioning, I think the feeling that is not really a priority for them...

Back in November I gave them some feedback and a week or so later I was surprised to get a reply. Now they are probably just saying what I wanted to hear but it was indicated that they are looking into options and hoped to have something in place in Q1 2023.
I’m not holding out hope for it but fingers crossed

 

[AIRwin]

Bain Capital explores Virgin Australia IPO as aviation market improves

Bain Capital said on Monday it is looking to relist airline Virgin Australia, in a move that would come as the domestic aviation market bounces back strongly from pandemic lows.

www.reuters.com

 

[dajop]

Bain Capital explores Virgin Australia IPO as aviation market improves

Bain Capital said on Monday it is looking to relist airline Virgin Australia, in a move that would come as the domestic aviation market bounces back strongly from pandemic lows.

www.reuters.com

Knock we down with a feather. What a surprise.

Another great opportunity for some to make a small fortune.

 

[jase05]

Knock we down with a feather. What a surprise.

Another great opportunity for some to make a small fortune.

Smart move by Bain.
Maintain a large chunk of ownership and sell off the rest for a pretty penny

 

[RAM]

Smart move by Bain.
Maintain a large chunk of ownership and sell off the rest for a pretty penny

Sell off enough at a price that repays all equity put into it as well as a few hundred percent profit....

Meanwhile the debt remains the same (or even increases).

 

[Saab34]

Who the heck would invest in VAH!

I get a migraine just even thinking about that joint being listed again. Last time round worked a treat, started at 2 bucks, finished off at 8c.

 

[antycbr]

Who the heck would invest in VAH!

I get a migraine just even thinking about that joint being listed again. Last time round worked a treat, started at 2 bucks, finished off at 8c.

This time they have arguably saner management not a p***ing contest between the Borg and AJ. I wouldn’t invest though in any airline, I have enough exposure to them through their crypto/frequent flyer programs

Thinking more about this I wonder if VA will do a series of sales or DSC offers to drag in cash, particularly for 2H2023 to fatten up the cash in the business.

 

[HS-TQE]

This time they have arguably saner management not a p***ing contest between the Borg and AJ. I wouldn’t invest though in any airline, I have enough exposure to them through their crypto/frequent flyer programs

Thinking more about this I wonder if VA will do a series of sales or DSC offers to drag in cash, particularly for 2H2023 to fatten up the cash in the business.

VA 2.0 also doesn't have a dysfunctional board like VA 1.0, where the battle of the egos between James Hogan (EY), Borghetti and Luxon (NZ) regularly came into play, with Choon Pong (SQ) in the background.

 

[SCM]

I think it's a very smart move. IMO right now, all airlines stocks (both here and in the US for example) are highly overvalued, riding the headwinds of generational high ticket prices.

I am fairly confident these ticket prices are going to crash after the northern summer peak, and with them airline stocks. So Bain wants to sell enough of this while they still can at current "premium" valuations.

I think VA has a really good business strategy, choosing to partner with great airlines like SQ and now QR, I think they will have a low cost base and certainly be able to be consistently profitable.

The only real question is how and where from the growth will come, this will involve a high degree of risk and investment - with money they don't really have.

Even Qantas barely flies overseas anymore (long haul, not middle of nowhere SEA destinations), and they are able to command insane ticket prices. Just unclear to me what VA's international long-haul strategy will be, and that's really the only area where they can experience significant growth. Adding a few MAXes to the fleet is all nice and well, but it will only deliver maybe 10-15% more paying customers as a once-off benefit to that investment, and only on a few flights.

 

[justinbrett]

Even Qantas barely flies overseas anymore (long haul, not middle of nowhere SEA destinations)

Are you for real? QF has more long haul international routes than it did 10 years ago, possibly even 20 years ago.

Flights to 6 different cities in North America, plus flights to SCL, JNB, LHR and seasonal to FCO. Not to mention the routes in North Asia / India which outside of the Australian context would be considered long haul (approx 10 hours). That's not bad for a carrier of a country at the end of the line with only 25 million.

I remember in the early 2000s they were saying QF might only fly to LHR and LAX. It's definitely bounced back on the international front (and not just post-covid).

 

[SCM]

Are you for real? QF has more long haul international routes than it did 10 years ago, possibly even 20 years ago.

Flights to 6 different cities in North America, plus flights to SCL, JNB, LHR and seasonal to FCO. Not to mention the routes in North Asia / India which outside of the Australian context would be considered long haul (approx 10 hours). That's not bad for a carrier of a country at the end of the line with only 25 million.

I remember in the early 2000s they were saying QF might only fly to LHR and LAX. It's definitely bounced back on the international front (and not just post-covid).

Sorry I just don't care about any of these, I want EU mainland destinations, of which there are none. Their FCO flights were ridiculously overpriced, no idea who and why flies those, and highly seasonal.

For NA, I New York or Dallas, LAX is the worst and most useless airport on the continent.

Would never fly Qantas to north Asia, there's about 20 airlines which are better, meanwhile Qantas is charging business class prices for economy tickets - why bother? Do you consider that an acceptable flight service? I don't.

 

[justinbrett]

Sorry I just don't care about any of these, I want EU mainland destinations, of which there are none. Their FCO flights were ridiculously overpriced, no idea who and why flies those, and highly seasonal.

For NA, I New York or Dallas, LAX is the worst and most useless airport on the continent.

Would never fly Qantas to north Asia, there's about 20 airlines which are better, meanwhile Qantas is charging business class prices for economy tickets - why bother? Do you consider that an acceptable flight service? I don't.

Just because you don’t like the service doesn’t mean you can ignore them. Your statement was factually incorrect.

And I think pretty much all the routes are selling well (many you can’t even get a reward seat) so others don’t share your opinion. Anyway I don’t meant to make this yet another pro/anti QF debate, just factually QF does fly many long haul routes and does quite well out of them.

 

[jakeseven7]

Sorry I just don't care about any of these,

No need to apologise! Just start your own airline and have it fly where you want

I want EU mainland destinations, of which there are none. Their FCO flights were ridiculously overpriced, no idea who and why flies those, and highly seasonal.

My WA based family used the Rome flights twice, yes they are priced at a premium but they didn't think they were over-priced and have the added benefit of skipping a stopover which many people do not like. With load factors of almost 100% on the Rome route, its pretty clear most people agree,

If you think they are ridiculously overpriced though that is entirely then that is your perception relative to your personal financial circumstances, you could look at other airlines, like Scoot for example which flies to other EU mainland destinations?

 

[BNEFlyer]

Are you for real? QF has more long haul international routes than it did 10 years ago, possibly even 20 years ago.

Flights to 6 different cities in North America, plus flights to SCL, JNB, LHR and seasonal to FCO. Not to mention the routes in North Asia / India which outside of the Australian context would be considered long haul (approx 10 hours). That's not bad for a carrier of a country at the end of the line with only 25 million.

I remember in the early 2000s they were saying QF might only fly to LHR and LAX. It's definitely bounced back on the international front (and not just post-covid).

Not disagreeing with you about QF's routes these days, but it's not quite as you mention.
- They fly to 5 NA cities not 6 (HNL/YVR/SFO/LAX/DFW (now from MEL and SYD)).
- There is only two cities served in north Asia (HND and ICN), which is less than 3 years ago when they flew to HND/NRT/KIX/CTS/PVG.
- But they now fly to DEL again as well as BLR.
- JNB is now from SYD and PER.
- FCO should go year-round and they do need another EU destination, which might happen when more 787's come online (perhaps to CDG?)

I think the current network of QF isn't something we could have predicted 3 years ago.

 

[AIRwin]

- There is only two cities served in north Asia (HND and ICN), which is less than 3 years ago when they flew to HND/NRT/KIX/CTS/PVG.

And HKG?