Sebastian Vettel says he was happy with Ferrari's form in qualifying for the Australian Grand Prix, despite admitting the gap to Mercedes is "huge".
The four-time world champion qualified fourth for his first ever race with the Maranello team, confirming Ferrari and Williams are in the fight for best of the rest behind Mercedes.
Vettel was pipped to third by the Williams of Felipe Massa.
Both the Brazilian and Vettel qualified over a second behind the pole-setting Mercedes of Lewis Hamilton.
"Obviously the gap to the two cars in front is huge so everyone has to work hard, but for now I think we can be very happy," said Vettel.
"It looks like a step in the right direction.
"I think we can be happy with the whole weekend so far. It's a shame we missed out on P3 by a tiny bit."
Vettel outqualified teammate Kimi Raikkonen by 0.033 seconds.
The German is now expecting a very close fight for the podium with the Williams drivers.
"I think the first impression after testing was positive. That was the breaktrough, and now it's just a confirmation," he added.
"It looked very close with Williams, and now we have the confirmation that it's really close, so hopefully we'll have the upper hand in the race."