Qantas Airways (ASX:QAN) will start retiring its Airbus A380 airliner fleet in 2028, replacing it with aircraft that can fly further and operate on all of the airline's international network routes, according to a Thursday filing with the Australian bourse.
The company is in talks with Airbus and Boeing to convert around 20 of its purchase right options to firm orders starting from 2030, per the filing.
"This fleet renewal is expected to significantly improve Qantas International's earnings performance and reduce operational complexity," with its operating margin forecast to increase to between 10% and 12% from fiscal 2032, the company said.
Qantas CEO Vanessa Hudson said the company took delivery of 17 new aircraft in fiscal 2026 with up to 31 more to arrive in the year ahead.
The company's shares gained 4% in recent Thursday trade.