Transat A.T. Inc. Reports Fiscal Fourth Quarter Net Loss of $126.2 Million or $3.32 per Share
Transat A.T. Inc. has reported a fiscal fourth quarter net loss of $126.2 million or ($3.32) per share on a revenue increase to $573.1 million, compared to $62.8 million in the same period last year. At October 31, 2022, the company has unrestricted liquidity of $422.5 million.
On Thursday (December 15, 2022) Transat A.T. Inc reported their fiscal fourth quarter financial results for the period ending October 31, 2022. The carrier reported a fourth quarter net loss of $126.2 million or ($3.32) per diluted share an increase in revenue to $573.1 million versus $62.8 million during the same period last year. Excluding non-operating items, Transat reported an adjusted net loss of $75.9 million or ($2.00) per share. Transat’s full year net loss totaled $445.3 million or ($11.77) per diluted share, compared to a net loss of $389.6 million or ($10.32) per share in the previous year. The company’s annual adjusted net loss totaled $403.7 million or ($10.67) per share on Revenue of $1.64 billion, up from $124.8 million during the previous financial year. At October 31, 2022, Transat had unrestricted liquidity totaling $422.5 million and customer deposits of $602.5 million, up 7.0 percent versus pre-pandemic levels.
In Thursday’s announcement, Transat’s President and Chief Executive Officer, Annick Guérard, said,
“The recovery in travel, already very real in the third quarter, accelerated in the fourth. This shows that people still want to travel and travel spending is a priority for them, even amid an economic slowdown and rising inflation. During the past quarter, Transat responded to the demand and deployed a program based on its traditional strengths of combining European and sun destinations, which were very popular and allowed us to continuously improve our load factors. Several indicators show that we're also well set for the winter season. The pace of reservations is currently equivalent to that of 2019. Strong demand is driving up prices, which is helping us to deal with higher costs. As a result, Transat ended fiscal 2022 with solid momentum and a significant decrease in its adjusted operating loss. If the trend continues, the outlook for 2023 is encouraging.”
In October 2022, Transat launched a new codeshare partnership with Porter Airlines for flights available since November. This is in addition to a codeshare partnership with WestJet and 10 active virtual interlining partnerships, expanding the airline’s network to over 300 destinations. Transat also placed an order for two additional A321LRs at the end of November as part of their ongoing fleet renewal. Combined with an order for four A321XLRs announced in the third quarter, Transat will now have a fleet of 23 next-generation aircraft, either ordered or delivered.
Montreal-based Transat A.T. Inc. (TSX: TRZ), the parent company of Air Transat, was founded over 35 years ago. The company has 5,000 employees and a leading leisure airline in Canada, as well as the leading integrated tourism company. Transat offers vacation packages, hotel accommodations and air service to destinations across the Americas, Europe and the Caribbean. With codeshare and interline partnerships, Air Transat offers service to over 300 destinations. In 2022, Air Transat was voted the ‘World’s Best Leisure Airline in North America’ at the Skytrax World Airline Awards. The carrier is currently renewing their fleet with the most fuel-efficient and environmentally aircraft in their class, as part of Air Transat’s commitment to a healthier environment, knowing that this is essential for the preservation of the magnificent destinations they serve.
Source: Transat A.T. Inc./CNW