MONTREAL — Air Canada reported a loss of $640 million in its latest quarter as its operating revenue nearly tripled compared with a year ago as the airline ramped up capacity.
The airline says the loss amounted to $1.79 per diluted share for the quarter ended Sept. 30 compared with a loss of $685 million or $2.31 per diluted share a year earlier.
Revenue totalled $2.10 billion, up from $757 million in the same quarter last year.
Air Canada increased its capacity in the quarter as measured by available seat miles by 87 per cent compared with the third quarter of 2020, however it was still down 66 per cent when compared with the third quarter of 2019.
In its outlook, Air Canada says it plans to increase its fourth-quarter capacity by about 135 per cent compared with the same quarter in 2020.
When compared with the same quarter in 2019, capacity in the fourth quarter is expected to down 47 per cent.
“We are encouraged by the favourable revenue and traffic trends in the third quarter, with strong increases in key passenger geographic segments, a record cargo performance and significant improvements in both Air Canada Vacations and Aeroplan,” Air Canada CEO Michael Rousseau said in a statement.
“The combination of these factors, along with effective cost controls, resulted in net cash flow of $153 million for the quarter, materially better than expected and as compared to the third quarter of 2020.”
This report by The Canadian Press was first published Nov. 2, 2021.