Virgin posts $23 million profit

Virgin Australia posted a $23 million full-year profit and unveiled plans to expand capacity in the domestic market by as much as 9% over the coming months.

The positive result from Virgin was in stark contrast to Qantas which announced a $244 million full-year loss a few days ago.

Virgin said a key factor in its return to profitability from a $68 million loss previously had been its ability to snare more corporate and business flyers.

Virgin’s revenue rose 20% to $3.9 billion and it announced that it will target productivity gains of $400 million over the next three years.