Air Canada

AC

Equity

ISIN null / Valor 25946351

Toronto Stock Exchange (2025-10-20)

CAD 18.04+0.89%

Air Canada
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About company

Air Canada, the largest airline and flag carrier of Canada, operates an extensive international network that spans six continents as a founding member of the Star Alliance. With major hubs in Toronto, Montreal, and Vancouver, the airline offers a range of passenger and cargo services across a diverse fleet. Renowned for its service quality, Air Canada is the only international network carrier in North America to achieve a Four-Star rating from Skytrax. The company plays a critical role in connecting Canada to global markets, facilitating both leisure and business travel, and maintaining a significant presence in the competitive aviation industry.

Summarized from source with an LLMView SourceSector: Industrials

Revenue Growth

Operating revenues reached $5.632 billion, a 2% increase from the second quarter of 2024. Premium revenues also saw a significant rise of 5%, indicating strong demand for higher-tier services.

Profitability

The company reported an operating income of $418 million with an operating margin of 7.4%. Additionally, adjusted EBITDA stood at $909 million, yielding an adjusted EBITDA margin of 16.1%.

Cash Flow

Air Canada generated cash flow from operating activities amounting to $895 million and achieved a free cash flow of $183 million, highlighting robust financial health.

Shareholder Value

The airline completed a substantial issuer bid totaling $500 million, resulting in the cancellation of approximately 26.6 million shares. This move supports the company's strategy to enhance shareholder value.

Operational Excellence

Air Canada led major North American carriers in on-time performance for May and June 2025, coupled with strong customer service scores. The airline’s diversified business segments, including Air Canada Cargo and Air Canada Vacations, contributed significantly to its overall performance.

Awards and Recognition

The company was honored as the Best Airline in North America by Skytrax and received additional accolades for Best Cabin Crew in Canada and North America, reflecting its commitment to excellence and customer satisfaction.

Outlook

For the third quarter of 2025, Air Canada plans to increase its ASM capacity by 3.25% to 3.75% compared to the same quarter in 2024. The airline reaffirms its full-year 2025 financial guidance, anticipating continued growth and stability despite economic uncertainties.

Summarized from source with an LLMView Source

Key figures

-1.31%1Y

-1.15%3Y

13.4%5Y

Performance

40.3%1Y

33.3%3Y

38.9%5Y

Volatility