Cargojet swings to $1.3 million profit in Q3
Nov. 9, 2011, Mississauga, Ont. - Cargojet Inc. managed to wing its way to a slight profit in the third quarter as higher revenues helped the air freight carrier overcome lower volumes in its key overnight cargo services.
Cargojet said its third-quarter net profit was $1.3 million or 17 cents per share, compared with a loss of $9.7 million or $1.22 per share in the same 2010 period when it booked an unrealized loss of almost $8.4 million on trust units related to its conversion from an
Revenues in the three months ended Sept. 30 were $40.3 million, up from $38.8 million.
"Higher revenues in the quarter reflect an increase in charter, ACMI (aircraft, crew, maintenance and insurance) and fuel surcharge revenues, which were offset by lower than expected volumes on our core overnight network and continued depressed yields," said
president and CEO Ajay Virmani.
"While we are encouraged by the increased demand for ad hoc charter and new revenue opportunities, we remain cautious about the speed of recovery in the economy and continue to undertake the necessary steps to reduce costs to improve overall margins," he