Air Canada pins hopes on business travellers after profits fall

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MONTREAL — Air Canada lost $81 million in its first quarter, falling below analysts' expectations even as revenue and capacity ramped up.

MONTREAL — Air Canada lost $81 million in its first quarter, falling below analysts' expectations even as revenue and capacity ramped up.

“Winter is challenging every year,” added CEO Michael Rousseau, referring to what is traditionally the toughest quarter for North American carriers. However, the airline still expects to remain below its soaring 2019 capacity levels until 2025, five years after the COVID-19 pandemic first hammered the travel industry.

"But as we look late into the quarter and into Q1, we're starting to see some very encouraging signals on corporate demand — to the tune of almost 10 to 20 per cent greater on a year-over-year basis." On Thursday, Air Canada reported that it swung to a loss in its first quarter compared to net income of $4 million in the same period a year earlier.

 

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