Qantas is suspending some of its international and domestic flights until at least May as it confirmed the impact of the coronavirus outbreak so far.
It said the outbreak would hit its earnings by up to A$150 million (£76 million) and could be deeper if the crisis continues.
The airline has already suspended its Sydney to Shanghai service and has halved the number of flights from Sydney to Hong Kong.
But it stressed that the 15% cut in capacity was confined to Asian routes and there would be no reduction in its worldwide schedules, such as flights to and from the UK and US.
For the six months to December 31, Qantas reported a profit after tax of $445million, 3.9% down year on year.