Qantas warns on Virgin capacity

Qantas Airways (QAN) has reportedly forecast that Virgin Australia (VAH) will add a greater percentage of capacity in the second half.

The Australian Financial Review reports that Qantas provided analysts during a post-results briefing with a forecast that Virgin will add 4.6% capacity against 3-4% from Qantas.

Qantas is a larger airline, so Virgin has to add a greater percentage capacity than Qantas to 'keep pace'. The flying kangaroo currently holds 64.3% of domestic capacity.

But Qantas is desperately trying to protect its 65% Australian capacity goal.