CANADIAN operator cargojet Airways posted a CAD30.5 million (US$22.5 million) profit amid 'softer economic conditions' during the first three months of 2023, compared with a CAD$56.4 million loss during the first quarter of last year.
Revenue was down slightly, to CAD232 million from CAD234 million during the same three months of 2022, it said on May 1, reports FlightGlobal.
'Cargojet is not immune to the softening industry trends as well as the macro factors of slower economic growth, higher interest rates and persistent inflation,' says Ajay Virmani, Cargojet's chief executive.
The Toronto-headquartered company's costs increased 12 per cent year on year to CAD186 million from CAD167 million.
The hauler operated slightly more block hours during the three months, flying its fleet of Boeing 757-200s, 767-200s and 767-300s a total of 17,830 hours.
Revenue from Cargojet's aircraft, crew, maintenance and insurance (ACMI) agreements was CAD62.8 million, compared with CAD52.7 million during the same period of 2022.
Noting that consumers have been prioritizing travel and leisure spending in recent months, Cargojet anticipates that 'these consumption behaviours will continue to normalize during the latter part of this year, setting the stage for a more balanced mix of spending between goods and services'.
Mr Virmani says the company is realigning 'every aspect of our cost structure with the current demand levels', including changes to its network.
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Revenue was down slightly, to CAD232 million from CAD234 million during the same three months of 2022, it said on May 1, reports FlightGlobal.
'Cargojet is not immune to the softening industry trends as well as the macro factors of slower economic growth, higher interest rates and persistent inflation,' says Ajay Virmani, Cargojet's chief executive.
The Toronto-headquartered company's costs increased 12 per cent year on year to CAD186 million from CAD167 million.
The hauler operated slightly more block hours during the three months, flying its fleet of Boeing 757-200s, 767-200s and 767-300s a total of 17,830 hours.
Revenue from Cargojet's aircraft, crew, maintenance and insurance (ACMI) agreements was CAD62.8 million, compared with CAD52.7 million during the same period of 2022.
Noting that consumers have been prioritizing travel and leisure spending in recent months, Cargojet anticipates that 'these consumption behaviours will continue to normalize during the latter part of this year, setting the stage for a more balanced mix of spending between goods and services'.
Mr Virmani says the company is realigning 'every aspect of our cost structure with the current demand levels', including changes to its network.
SeaNews Turkey
