Aviation is a dynamic industry where global events can reshape the operating environment with little warning. For Virgin Australia Chief Financial Officer Race Strauss, navigating external volatility requires a clear business model, strategic focus, and financial discipline. Race’s perspective has been shaped by a career spent leading through complexity, but aviation stands apart, compressing decision-making timelines while increasing the consequences of those decisions.
“You cannot eliminate volatility in this industry,” says Race. “What you can do is build a business that is ready for it. ”That principle has guided Virgin Australia’s transformation since its reset in late 2020. The airline made deliberate choices about its positioning, simplifying its operating model, sharpening its focus on core customer segments, and rebuilding its cost base to support long-term profitability. For Race, that reset was critical in paving the way for a series of significant capital outcomes, including the introduction of Qatar Airways Group as a strategic investor in early 2025.
“Securing the world’s best airline as a strategic investor also supported our return to long-haul flying,” says Race. Qatar Airways commenced operating 28 weekly flights between Australia and Doha on behalf of Virgin Australia from mid-2025. During this period, the company also transitioned CEOs, with Chief Commercial Officer Dave Emerson taking the helm, continuing the business’s strategic momentum. Together, the leadership team progressed Virgin Australia’s return to the ASX in June that year – a process that had initially started in 2023 but was paused due to market conditions at the time.
The IPO was tested when the US announced a wave of global tariffs, changing Virgin Australia’s financial outlook. “We effectively had to rewrite the prospectus as conditions shifted,” says Race. “But we remained focused on execution and stayed the course.
”With that hurdle overcome and with encouraging feedback from investors, Race and the team continued to move towards relisting. But the night before they were due to ring the bell at the ASX in Sydney, conflict in the Middle East disrupted wet-leased flights between Australia and Qatar and triggered short-term market jitters. Some speculated that it might delay the IPO for a second time.
“The listing went ahead, and its success reinforced investor confidence in a new, stronger Virgin Australia, ”he says. “It was an incredible milestone that demonstrated the resilience of the business and our people. ”The A$685 million IPO represented 30.2% of shares on issue, with the remainder retained by the preexisting ownership group, including Bain Capital, Qatar Airways Group, Virgin Group and Queensland Investment Corporation.
“Virgin Australia’s turnaround is one of the defining chapters of my career,” says Race. The company’s strategic shift is now evident in performance. In the first half of FY26, the group delivered underlying EBIT of $490 million, up 11.7 per cent on the prior period, alongside revenue growth of 9.3 percent, while margins increased to 14.8 per cent.
These results have been delivered against a backdrop of industry-wide cost pressures, including fuel, airport charges and maintenance. In its April 2026 market update, Virgin Australia confirmed its FY26 financial guidance remained unchanged, with higher fuel costs partly mitigated by effective hedging across Brent crude and refining margins.
Despite external volatility, the airline continues to progress a significant fleet renewal program, with 12 Boeing 737-8 aircraft and four Embraer E190-E2s being delivered this year. Airline and commercial partnerships are also expanding through Velocity Frequent Flyer, alongside continued investment in technology to strengthen the customer experience.
Looking ahead, one thing is clear to Race: the operating environment will remain dynamic. “Our approach is to remain disciplined and prepared, so we can continue creating long-term value for our people, guests and owners,” he says.
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