Cargojet releases third quarter performance results

A Cargojet converted freighter lines up on the runway.
MarcelX42, CC BY-SA 4.0, via Wikimedia Commons
Cargojet has reported its Q3 2023 performance, showing a decrease in year-on-year revenue, amid strong on time performance metrics.

Cargojet Inc. has reported its financial results for the third quarter ended on September 30, 2023.

Revenues for the quarter showed a year-on-year decrease, though on time performance metric were very high.


Total Revenues: Cargojet reported total revenues of $214 million for the third quarter of 2023, which is a decrease compared to the third quarter of 2022 when they had revenues of $232.7 million.

Revenues Excluding Fuel: Revenues, excluding fuel, were $177.7 million for the third quarter of 2023, compared to $175.6 million for the same period in 2022.

Adjusted EBITDA: The adjusted EBITDA for the third quarter of 2023 was $70 million, which is a decrease from the third quarter of 2022 when it was $82.1 million.

Net Earnings: Net earnings for the third quarter of 2023 were $10.5 million. However, when excluding the warrant valuation gain, there was a net loss of $6.8 million. In the same period in 2022, net earnings were $83.4 million, with a net loss of $1.9 million when excluding the warrant valuation gain.

Etihad affiliate link banner

Cash Flow: Cargojet focused on generating strong cash flow, resulting in an adjusted free cash flow of $94.5 million for the third quarter of 2023, compared to $47.9 million for the same period in 2022.

Operating Activities & Market Conditions

The company generated net cash of $39.4 million from operating activities for the third quarter of 2023, compared to $77.9 million for the same period in 2022.

Cargojet CEO, Dr. Ajay Virmani, noted that higher interest rates were impacting household disposable incomes, leading to a division in household spending.

Discretionary items saw softer volumes, while essential household goods maintained strong volumes.

Despite this, Cargojet demonstrated positive revenue growth, highlighting the resilience of its diversified business model.

Cargojet is actively working to identify cost-saving opportunities and is reducing capital expenditures prudently.

The company achieved an on-time performance rate of 99.5% in the quarter, attributed to the dedication and hard work of the Cargojet team.

Cargojet has implemented a normal course issuer bid for its common voting shares and variable voting shares.

This move is based on the belief that market prices for these shares may not fully reflect their underlying value over the next 12 months.

The NCIB will begin on November 9, 2023, and conclude no later than November 8, 2024. Purchases under the NCIB will be subject to favorable market conditions and will be made at the prevailing market price through the facilities of the TSX and/or alternative Canadian trading systems.

Did you know AviationSource has two newsletters? One covers the general news and analysis of the industry as a whole, and the other to do with emergencies that take place throughout the year! To subscribe to our General News Newsletter, CLICK HERE! To subscribe to our Emergencies, Accidents & Incidents Newsletter, CLICK HERE!

Check Out Our Socials!

Up Coming Events

Paris Airshow 2023 18-23 June
Be Sure To Check out our 24 Live blog for Live and accurate Coverage of the Airshow!

Popular Posts

You May Also Be Intrested In

More News.....

On Key