WestJet swings to profit in second quarter ahead of privatization

Business in brief

WestJet swings to profit in second quarter ahead of privatization

CALGARY — WestJet Airlines Ltd. says it swung to a profit in the second quarter ahead of Onex Corp. taking the airline private in a $3.5-billion deal.

The Calgary-based company says it had net earnings of $44.3 million in the quarter ending June 30, compared with a loss of $15.8 million in the same quarter last year.

Diluted earnings per share worked out to 38 cents each for the quarter, compared with a loss of 14 cents per share in the same quarter last year.

The company saw total revenue climb to $1.21 billion from $1.09 billion last year as it flew 3.5 per cent more travellers in the quarter.

Earlier this week, WestJet shareholders approved Onex’s bid to acquire and take private the company for $31 a share. The deal is still subject to some closing conditions, including regulatory approvals.

The offer was a reduction from the preliminary price of $35.75 per share submitted in March due to uncertainties related to the grounding of Boeing 737 Max jets, according to the proxy circular provided to shareholders.

“We are very pleased with this significant return to second quarter profitability,” said WestJet President & CEO Ed Sims.

The company’s board has declared a cash dividend of 14 cents per share for the third quarter, to be paid out at the end of September.

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

First-time impaired drivers a focus in Alberta

Province introduces the Provincial Administrative Penalties Act

Red Deer RCMP chase dangerous driving suspect into river

Vehicle chase on Thursday ended at McKenzie Trails, where man tried to escape by running into river

Alberta’s 15.5 % unemployment second worst in country

Only Newfoundland’s 16.3 % unemployment is higher among provinces

National unemployment rate hits new record even as economy adds jobs

OTTAWA — Statistics Canada reports a record high unemployment rate as the… Continue reading

PODCAST: Black Lives Matter in central Alberta

Community organizers come on the show to discuss central Albertan anti-racist movement

If you’re going shopping, please be sure to wear a mask

If you want my opinion, everyone should be wearing a mask while… Continue reading

PODCAST: Black Lives Matter in central Alberta

Community organizers come on the show to discuss central Albertan anti-racist movement

MLB players reaffirm pay stance, no deal with teams in sight

NEW YORK — Baseball players reaffirmed their stance for full prorated pay,… Continue reading

B.C. Lions players Burnham, Johnson admit they feel safer in Canada than in U.S.

B.C. Lions players Bryan Burnham and Micah Johnson say they feel safer… Continue reading

Universal takes first steps reviving Orlando theme park biz

ORLANDO, Fla. — With masks on their faces and temperature checks at… Continue reading

US commercial casinos won $43.6 billion in 2019, up 3.7%

ATLANTIC CITY, N.J. — Helped by the continuing spread of legal sports… Continue reading

Alberta Opposition calls on government to consult on provincial parks

Alberta Opposition calls on government to consult on provincial parks

Alberta overhauls real estate regulator in wake of prior dysfunctional board

Alberta overhauls real estate regulator in wake of prior dysfunctional board

Most Read