Air Canada posts smaller Q4 loss in sign recovery intact despite Omicron

Air Canada president and CEO Michael Rousseau says the unpredictable course of COVID-19 made last year extremely challenging for the airline industry.

Air Canada topped expectations as it posted a smaller loss in its latest quarter, a sign the airline’s underlying recovery remains intact despite the Omicron variant’s impact on holiday travel.

The company reported a fourth quarter net loss of $493 million or $1.38 per diluted share, compared with a net loss of $1.16 billion or $3.91 per diluted share a year before.

Air Canada’s operating revenues for the quarter ended Dec. 31 were $2.73 billion, more than triple the $827 million recorded in the same period of 2020.

Analysts polled by financial data firm Refinitiv expected Air Canada to record revenue of $2.43 billion and a $539 million loss.

Michael Rousseau, president and CEO of Air Canada, says the unpredictable course of COVID-19 made last year extremely challenging for the airline industry.

But he says robust advance ticket sales, which grew almost $400 million in the quarter, give the company confidence that passengers will return and that Omicron has deferred, not cancelled, travel.