March 7, 2022 By The Canadian Press
MISSISSAUGA, Ont. — Cargojet Inc. swung to a $102-million profit in the fourth quarter as revenue surged 26.1 per cent on increased demand for its domestic, charter and other aircraft services.
The Mississauga, Ont.-based provider of time-sensitive air cargo services says it earned $5.70 per diluted share in the quarter, compared with a loss of $1.31 per share or $20.5 million a year earlier.
Revenues for the three months ended Dec. 31 were $235.9 million, up from $187.1 million in the fourth quarter of 2020.
Analysts on average expected Cargojet to earn $1.70 per share on $211.9 million of revenues, according to financial data firm Refinitiv.
For the full-year, Cargojet earned $167.4 million or $9.51 per diluted share on $757.8 million of revenues, compared with a loss of $87.8 million or $5.63 per share on $668.5 million of revenues in 2020.
Matthew Lee of Canaccord Genuity Corp. says the strong quarterly results were driven by continued adoption of e-commerce, a recovery in B2B and added ACMI (aircraft, crew, maintenance and insurance) routes to western Canada that started in October.
“As we begin to prepare for the post-pandemic world, Cargojet now has a substantially larger base of business to build upon compared with its pre-pandemic size and scale,” said CEO Ajay Virmani in a news release.
Cargojet carries more than 11 million kilograms of cargo weekly on its fleet of 31 aircraft.