Air Canada has today reported a third quarter adjusted net profit of $969 million or $2.57 per diluted share on a 4.0 percent year-over-year decline in revenue to $6.1 billion.
On Friday (November 1, 2024), Air Canada announced their third quarter 2024 financial results for the period ending September 30, 2024. The carrier reported a third quarter adjusted net profit of $969 million or $2.57 per diluted share on 4.0 percent year-over-year decline in revenue to $6.1 billion. Air Canada’s third quarter revenue per available seat mile (RASM) declined 6.5 percent compared to Q3 2024 to 21.1 cents, while cost per available seat mile (CASM) declined 0.2 percent to 17.5 cents. Costs excluding fuel (CASM-ex) or ‘adjusted CASM’ decreased 0.4 percent to 12.15 cents. At September 30, 2024, Air Canada had total liquidity of $10.26 billion, including $8.94 billion in cash, cash equivalents, short and long-term investments, and approximately $1.0 billion available under undrawn credit facilities.
In Friday’s announcement, Air Canada’s President and Chief Executive Officer, Michael Rousseau, said,
“Air Canada reported solid results for the third quarter on key metrics, with operating revenues of $6.1 billion and operating income of $1 billion. Adjusted EBITDA of $1.5 billion and our adjusted earnings per share of $2.57 were both ahead of market expectations. We delivered on our ongoing operational improvement program, with quarterly on-time performance rising eight percentage points over the same period in 2023. I thank all our employees for their care and dedication in safely moving nearly 13 million customers in the quarter, including our Olympic and Paralympic athletes to the summer games in Paris.
“Summer is our peak season and this year our pilot contract negotiations added complexity. We proactively offered options and flexibility to customers, and I am proud that we concluded a mutually beneficial agreement without significant disruption to customers and with a contained revenue impact. I thank our customers for their loyalty and reiterate our promise to keep providing industry-leading products and services to them.
“The demand environment remains favourable. We have adjusted our full year guidance and underlying assumptions to account for the evolution of the fuel price environment and for certain contract-related adjustments. We are delivering on our commitments and are confident in our future. We are now announcing a new share buyback program, addressing some of the dilution experienced from financing decisions necessary during the pandemic, and returning value to shareholders. This additional step, after paying down our debt and funding our growth, is consistent with our capital allocation roadmap and our strategic plan, which we will detail at our Investor Day on December 17, 2024.”
Air Canada is Canada’s largest domestic and international airline. The Canadian flag carrier is a founding member of the Star Alliance and holds a Four-Star ranking from Skytrax. Air Canada provides scheduled passenger service to 180 airports in Canada, the United States, and internationally on six continents. Through the carrier’s Aeroplan loyalty program, customers can earn and redeem points on the world’s largest airline partner network of 45 airlines. Air Canada Cargo offers air freight lift and connectivity to hundreds of destinations across six continents with a dedicated fleet of 767-300 Freighters and passenger aircraft belly hold capacity. Additionally, the airline has committed to a net zero emissions goal from all global operations by 2050.
Source: Air Canada/CNW
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