Air Canada are looking to avoid a repeat of last summer’s widespread disruption as we head into the busy holiday travel season.
Chief Executive Officer Michael Rousseau said the company has learned valuable lessons during the “operationally challenging” summer months, which it is applying to its current operations as travel demand continues to grow. again.
After improving operations in late summer, the airline is now operating at pre-pandemic levels as it continues to increase headcount, he said in a press release.
“We sincerely apologize for any inconvenience caused,” Rousseau said.
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With the summer’s canceled flights and airport jams still fresh in the minds of many travelers, he reassured passengers of the lessons the airline had learned.
“For customers who book vacation and winter vacations, they can count on our ability to carry them safely and conveniently.”
While travel disruptions continued throughout July, improvements in August and September helped Air Canada carry approximately 11.5 million passengers in the third quarter and post positive operating income. for the first time since the pandemic began.
The airline said it had operating income of $644 million for the quarter, compared with an operating loss of $364 million in the third quarter of 2021.
In addition to high demand, the quarter also saw high fares that help offset fuel costs, said Walter Spracklin, an analyst at RBC Dominion Securities.
Amos Kazzaz, Air Canada’s chief financial officer, said the adverse exchange rate has boosted high jet fuel prices, which have risen more than 80 percent from the third quarter of 2021.
Improved passenger volume to 86%, up from 71% in 2021, also helps to reduce these costs, as fuller planes also lead to better cost-per-seat reductions, Spracklin said. expected.
Air Canada said its capacity, measured by seat availability, in the quarter increased 130% from a year ago, while its traffic measured by passenger miles revenue increased 179.5% compared to the third quarter of 2021.
Overall, Air Canada reported a net loss of $508 million in the third quarter compared with a loss of $640 million in the same quarter last year as it ramped up operations and more than doubled revenue.
The airline said a loss of $1.42 per diluted share in the quarter ended September 30 compared with a loss of $1.79 per diluted share a year earlier.
Revenue for the quarter came in at $5.32 billion, up from $2.10 billion in the third quarter of 2021.
& copy 2022 Canadian Press
