Intra-specific hybrids within Eucalyptus nitens and E. globulus were compared directly with inter-specific E. nitens × globulus using common parents. Diameter (age 2, 4, 6, 10 years) and Pilodyn (age 6 years) were used as indirect measures of growth and wood density, respectively. Genetic parameters were estimated for all cross types and traits. A direct comparison of the general combining ability with the general hybridising ability was made. Heterosis was estimated for intra- and inter-specific hybrids. The intra-specific hybrids in both species exhibit intermediate heritabilities and levels of additive genetic variance. The inter-specific F1 E. nitens × globulus exhibited high incidence of abnormalities at young ages and high levels of later age mortality. The mean performance of surviving inter-specific F1 hybrids was generally intermediate for all traits, to varying degrees, between the parental intraspecific crosses, and there is little evidence for significant heterosis. Different provenances of E. globulus may exhibit different responses to hybridisation. In this case, the interspecific F1 hybrids, using Taranna E. globulus, appear to perform worse on average than those using King Island provenance for growth traits. There is evidence that specific hybrid families are produced that outperform most of the pure species families for one or other of the traits examined; however, there is no reliable quantitative genetic method of predicting which parents should be used.