Transat A.T. Reports Fiscal Third Quarter 2025 Net Profit of $399.8 Million or $9.97 per Share

Transat A.T. has reported a fiscal third quarter 2025 net profit of $399.8 million or $9.97 per share, including $345.1 million from long-term debt restructuring, on a 4.1 percent year-over-year increase in revenue to $766.3 million.

Air Transat Airbus A321neoLR Rendering - Courtesy Airbus

On Thursday (September 11, 2025), Transat A.T. Inc. reported their fiscal third quarter financial results for the period ending July 31, 2025.  The carrier reported a fiscal third quarter net profit of $399.8 million or $9.97 per share (including $345.1 million from long-term debt restructuring) on a 4.1 percent year-over-year increase in revenue to $766.3 million.  At the end of the period, Transat had cash and cash equivalents totaling $357.2 million.

In Thursday’s announcement, Transat’s President and CEO, Annick Guérard, said, 

“Transat delivered improved operating and financial performances in the third quarter of fiscal 2025.  Revenues grew 4.1%, driven by a 2.6% year-over-year yield improvement and a 1.0% passenger traffic increase.  Benefits from our Elevation Program, a comprehensive optimization plan aimed at maximizing long-term profitable growth, are materializing as anticipated and continue to drive results towards generating adjusted EBITDA of $100 million by mid-2026.  The increase in revenue, combined with rigorous control of operating expenses and favourable fuel costs, resulted in improved operating profitability.

“Looking ahead, economic uncertainty and capacity redeployment across the industry are posing short-term challenges for load factors, and we do not expect fuel costs to provide the same significant tailwind as they did so far this year. In this context, we are maintaining our focus on executing our business strategy through disciplined cost management, fleet optimization and network expansion.  As for the upcoming winter season, we are excited with our broader offering.  With new destinations in South America and Türkiye, along with the extension of transatlantic services, we are pursuing our diversification strategy to offer more leisure travel options.”

Also commenting on the carrier’s Q3 FY2025 results, Transat’s Chief Financial Officer, Jean-François Pruneau, added,

“Closing our refinancing agreement during the third quarter was a key milestone in achieving our objectives of reducing debt and strengthening our balance sheet.  We also partly monetized our financial compensation from the manufacturer of the GTF engines for 2025 through two sale-leaseback transactions, and proceeds were partially used to further repay debt and redeem preferred shares.  With a significantly improved capital structure, we can concentrate more efficiently on carrying out our strategic plan and driving long-term operational progress.”

Montreal-based Transat A.T. Inc. (TSX: TRZ), the parent company of Air Transat, was founded 37 years ago.  The company has 5,000 employees and is a leading leisure airline in Canada, as well as the top integrated tourism company.  Transat offers vacation packages, hotel accommodations and air service to destinations across the Americas, Europe, the Caribbean, and North Africa.  With codeshare and interline partnerships, Air Transat offers service to over 280 destinations worldwide.  In 2025, Air Transat was voted the ‘World’s Best Leisure Airline’ 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