Despite its falling stock price, national carrier Qantas Airways posted Wednesday a full-year net income of $250 million, and executives said it is a natural target for acquisition.

Qantas chief executive Alan Joyce has admitted that his firm's current standing on the Australian Securities Exchange is far from desirable but insists the airline's business operation stands on firm foundation.

Qantas' stocks, Joyce said, reflect a different picture as opposed to actual earnings, which he stressed emboldened him to embark on planned expansions that will focus on the Asia-Pacific region.

The Qantas boss also confirmed speculation that the carrier is being targeted for takeover by private equity firms, as first reported by The Australian on Wednesday, but said no formal proposals have yet to be forwarded to the board.

"There's no formal or informal bid on the table and nobody has approached us. It is pure speculation," Joyce told Agence France-Presse.

According to The Australian, senior federal officials have been approached for a possible takeover of the airline amounting to $3.5 billion, but Federal Treasurer Wayne Swan and Transport Minister Anthony Albanese have already come out against any such deal.

The government stance, they said, is guided by national interest and both Swan and Albanese are considering options in the event of a bid.

The last time Qantas attracted a serious suitor, in 2006, shareholders rejected the $11 billion bid put forward by the now-defunct Allco Finance Group, according to AFP.

Qantas' overall operations have been shored up by the consistent performance of its low-fare subsidiary Jetstar and the frequent flyer programme, which together accounted for gross figures of some $7 billion that analysts said were more than enough figures to lure possible takeover bids.

But since it is the national carrier, Australian law mandate foreign entities will be limited to 49 percent of ownership.