Air Canada Cargo reported higher revenues in the first quarter of 2026, lifted by domestic demand and fuel surcharges, though international markets weakened, reports London's Air Cargo News.

Cargo operating revenues rose to C$259 million (US$190 million), up 3.5 per cent from C$250 million a year earlier. The airline stated that the increase was driven by higher volumes and yields in the domestic market, with fuel surcharges also contributing. However, international and transborder yields declined year-on-year.

Mark Galardo, chief commercial officer and president of cargo, mentioned that spot rates and a carrier surcharge were introduced in response to rising jet fuel prices linked to the Middle East conflict. The airline noted that weaker international yields partially offset domestic gains.

Overall operating revenues for Air Canada rose 11 per cent to C$5.8 billion. Chief executive Michael Rousseau reported that operating income reached C$117 million, a swing of C$225 million from a year earlier, while adjusted EBITDA climbed 61 per cent to C$623 million, reflecting strong momentum from the record fourth quarter of 2025.

Air Canada's freighter fleet remains unchanged since March 2025, with six Boeing 767 aircraft in service.