Air Canada lifts core profit expectations on international travel boom
(Reuters) -Air Canada said on Monday it expects 2023 core profit towards the higher range of its previous forecast, after the carrier beat third-quarter profit estimates, benefiting from strong demand for international travel.
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(Reuters) - Air Canada reported a quarterly profit compared with a year-ago loss on Monday, as the carrier benefited from strong demand for international travel.
North American airlines operating international flights are benefiting from sustained demand for long-haul journeys as more people plan holidays abroad, despite contending with higher costs.
Such airlines face pressure from higher labor costs, with pilots at U.S. legacy carriers nabbing steep pay increases in new contracts or tentative agreements.
Last month, Air Canada pilots staged a protest demanding better pay and benefits as talks over a new contract covering 4,500 pilots at the company continue.
Canada’s largest airline posted net profit of C$1.25 billion, or C$3.08 per share, for the quarter ended Sept. 30, compared with the net loss of C$508 million, or C$1.42 per share, a year earlier.
The Canadian carrier’s quarterly operating revenue rose 19.2% to C$6.34 billion.
Reporting by Shivansh Tiwary in Bengaluru; Editing by Shilpi Majumdar
