Air Canada’s finances are definitely on the rise.
The Montreal-based airline today reported fourth quarter 2021 operating revenues of $2.731 billion. That’s 30 per cent higher than in the third quarter of 2021, and over three times fourth quarter 2020 operating revenues.
AC reported a fourth quarter 2021 operating loss of $503 million compared to an operating loss of $1.003 billion in the fourth quarter of 2020.
For the full year of 2021, Air Canada reported operating revenues of $6.400 billion, compared to 2020 operating revenues of $5.833 billion. Also for the full year, it reported a 2021 operating loss of $3.049 billion, compared to an operating loss of $3.776 billion in 2020.
“The unpredictable course of COVID-19 made 2021 extremely challenging for Air Canada and the global airline industry,” said Michael Rousseau, President and Chief Executive Officer of Air Canada. “But the sequential and year-over-year improvement in Air Canada’s fourth quarter results shows the underlying recovery remains intact despite the Omicron variant.
Rosseau said that, prior to Omicron’s onset, ticket sales reached 65 per cent of pre-pandemic levels in October and November.
“Moreover, robust advance ticket sales, which grew almost $400 million in the quarter, give us confidence that our customers will keep returning and that Omicron’s effect on our business is travel deferred, not cancelled.
“There are other unmistakable signs of revival, ” he said. “We have been actively restoring our network, with 118 stations served at the end of 2021 up from 70 at its start, and the average number of daily flights rising to 665 in December 2021 from 245 in January 2021. And, most importantly, we have recalled over 10,000 colleagues, including 3,900 in the fourth quarter, and we have also begun hiring new employees.
“As we move into 2022, all expectations are that the recovery in air travel will continue, albeit unevenly,” Rosseau said.
“Our progress rebuilding our airline is due to the hard work, resourcefulness, and commitment of our people. I warmly thank our employees for their dedication and professionalism, which have been unwavering through nearly two years of a global pandemic.
“I also thank our customers, including shippers, for their steadfast loyalty in continuing to choose Air Canada. As restrictions lift and more people return to flying with us, they will discover measures introduced for COVID safety have been adapted to smooth their journey.
“As we look at our renewed commitment to customer service excellence, we have more exciting initiatives to come.”
