Sydney    - Leading airline Qantas Airways said Wednesday that higher fuel costs, fewer passengers and the devaluation of the Australian dollar had cut half-year profits by 66 per cent to 210 million Australian dollars (136 million US dollars).

Although revenue grew 2 per cent in the six months to December, costs increased 10 per cent.

Last year, Qantas announced it would shed jobs, close routes and sell aircraft to protect profitability. It also announced a pay freeze for senior staff. (dpa)