Qantas has reiterated its expectation that increased revenue should largely offset fuel price rises this year, but chairman Leigh Clifford says the airline is looking at longer-term challenges including climate change.

Chief executive Alan Joyce's speech to Friday's annual general meeting echoed a trading update released a day earlier in which Qantas said an eight per cent increase in the value of forward bookings would eat into a large increase in fuel costs.

"This gives us the confidence that we will substantially recover higher fuel costs in FY19 - which for the group as a whole are now likely to be around $860 million higher than last year," Mr Joyce said.

But Mr Clifford, who retired after the meeting in Brisbane to be replaced by former Wesfarmers managing director Richard Goyder, said the airline was looking at challenges beyond the current financial year.

"Competition is intense. Fuel costs are rising. And there is some global uncertainty around trade flows," Mr Clifford said.

"But a lot of the restructuring we have done in recent years has been to make sure we can keep delivering for customers, employees and shareholders in spite of headwinds."

Mr Clifford called out what he called four "mega trends" that Qantas must deal with.

"How will global shifts change where people want to fly? How do we use big data to improve our business and deal with cyber threats?" Mr Clifford said.

"As a big user of fossil fuels, how do we manage the challenges of climate change? And how do we evolve to meet the changing expectations of our customers and employees?"

Qantas shares were down more than 2.5 per cent shortly before the market closed on Friday, against the backdrop of an overall 0.5 per cent decline.

Qantas avoided a first strike on remuneration after shareholders voted in favour of the payment structure, while shareholder also voted against a resolution to review the airline's policy of transporting refugees forcefully deported by the Australian government.

Representatives from the Australian Centre for Corporate Responsibility and the Refugee Advice and Casework Service protested outside the AGM and expressed their concerns to the board.

"This is not an issue with Qantas, this is an issue I think you have with government policy and I think you have with the way that's set up," Mr Joyce told concerned investors.

"This should be an issue addressed that way."