Air Canada sets record for adjusted earnings, which more than doubled in 2015

MONTREAL -- Air Canada is reporting strong financial results, including a record high for adjusted annual profit for the second year in a row.

See Full Article

The airline's adjusted net income for 2015 was $1.2 billion -- more than double the previous record of $531 million in 2014.

The adjusted earnings provided by Air Canada (TSX:AC) are more closely watched by analysts than net income, which includes items required under generally accepted accounting principles.

The company's adjusted net income for the full year equalled $4.18 per diluted share, including 40 cents in the fourth quarter.

Analysts had estimated adjusted earnings of 40 cents per share for the quarter, according to Thomson Reuters data.

Overall operating revenue in the quarter was $3.18 billion, up $78 million from a year earlier. That included $2.836 billion in system passenger revenue, up $81 million.

Traffic growth of 8.6 per cent in the fourth quarter reflected traffic increases in all of Air Canada's five geographic markets.

For the full year, Air Canada had $13.87 billion of operating revenue, up $596 million. System passenger revenue was $12.4 billion, up $616 million.

Without adjustments, Air Canada's net income for 2015 as a whole was $308 million -- up from $105 million in 2014. In the fourth quarter, there was a net loss of $116 million -- compared with a $100-million loss a year earlier.

The adjusted earnings remove the effects of foreign exchange, employee benefits, adjustments to the market value of its fuel hedging contracts and other derivatives and unusual items.



Advertisements

Latest Economic News

  • Hydro One's planned merger with U.S. energy firm Avista passes another hurdle

    Economic CTV News
    TORONTO - Hydro One Ltd. and Avista Corp. say their proposed merger has cleared another hurdle in the U.S. The two companies say the Committee on Foreign Investment in the United States has completed a review of the deal and found no unresolved national security concerns. Source
  • Asian markets drop despite Wall Street gains

    Economic CTV News
    BEIJING - Asian markets were mostly lower Tuesday after Wall Street gained as Italy moved toward forming a euroskeptic-led government. KEEPING SCORE: The Shanghai Composite Index declined 0.2 per cent to 3,208.20 and Sydney's S&P-ASX 200 lost 0.7 per cent to 6,039.20. Source
  • Anxiety lands as WestJet pilot strike looms

    Economic CBC News
    Dana Sorensen booked a WestJet flight from her home in Vancouver to Calgary, where she's racing in the upcoming ultra-marathon. But the anxiety of a looming pilots' strike was too much to bear. She paid for another flight on a different airline, a peace of mind that cost her an extra $500. Source
  • Banks poised to report strong Q2 despite housing slowdown: analysts

    Economic CTV News
    TORONTO -- Canada's biggest banks are upping the ante in the mortgage wars amid slowing growth and national housing sales at lows not seen in several years, but analysts say real estate market woes won't dent lenders' earnings, just yet. Source
  • Insider Q&A: Should investors worry about 'peak earnings?'

    Economic CTV News
    NEW YORK -- Speaking about a peak suddenly made stocks weak. Investors got a rude awakening in April when executives at Caterpillar said the construction and mining equipment company didn't expect to top its first-quarter profit for the rest of the year. Source
  • From airlines to pizza parlours, EU businesses adopt data law

    Economic CTV News
    LONDON -- Lisa Meyer's hair salon is a cozy place where her mother serves homemade macaroons, children climb on chairs and customers chat above the whirr of hairdryers. Most of the time Meyer is focused on hairstyles, colour trends and keeping up with appointments. Source
  • China says it can't guarantee no more trade tension with U.S.

    Economic CTV News
    BEIJING -- China's government said Monday it cannot guarantee that renewed trade tension with Washington can be avoided after U.S. Treasury Secretary Steven Mnuchin declared a temporary truce in a spiraling dispute that prompted worries of a chilling of global commerce. Source
  • Trump pulls back from brink of trade war with China

    Economic CTV News
    WASHINGTON -- U.S. President Donald Trump on Monday hailed his administration's temporary truce with China on trade, even as his Treasury secretary and China struck a note of caution on the latest agreement. After high-level talks in Washington last week, Beijing has agreed to "substantially reduce" America's trade deficit with China. Source
  • Oregon's flooded recreational pot market a cautionary tale: economists

    Economic CBC News
    As marijuana farmers in Oregon say a flood of supply is killing their businesses less than three years after recreational cannabis was legalized, economists say it's a warning to Canada. Stephen Easton, professor of economics at Simon Fraser University and senior fellow at the Fraser Institute, says large fluctuations in price and supply are bound to happen when you create a legal market where an illegal market already exists. Source
  • Canada should heed cautionary tale of Oregon's flooded pot market

    Economic CTV News
    VANCOUVER -- As marijuana farmers in Oregon say a flood of supply is killing their businesses less than three years after recreational cannabis was legalized, economists say it's a warning to Canada. Stephen Easton, professor of economics at Simon Fraser University and senior fellow at the Fraser Institute, says large fluctuations in price and supply are bound to happen when you create a legal market where an illegal market already exists. Source