Qantas reported an increase in underlying profits before tax of almost three times as much for the year ending 30 June 2010, of $377 million.

Qantas Chief Executive Officer, Mr Alan Joyce said the increase showed the company had "performed well during tough trading conditions".

"The overall strength and diversity of our operations, back by our two airline brands and portfolio business strategy, and an ongoing focus on cost and prudent financial management, saw us through the crisis and will continue to drive our business."

Joyce said the year's success is a result of regained interest in international leisure but expects improvements in domestic business, predicting a 9.6 percent increase in domestic flights for the first half of this financial year.

However, Jetstar proved to be the most lucrative airline for the group, achieving half of the company's profits of $131 million, while Qantas contributed $67 million.

Qantas is also revelling in the success of Qantas Frequent Flyer reaching a record of seven million members.

Despite before tax success the company they will not be paying a dividend to shareholders due to the 5.7 percent loss of profit after tax.