WestJet Airlines reports $45.3M Q3 profit, down from $135.9M a year ago
WestJet attributes the drop in profits to an increasingly competitive environment and rising fuel prices
CALGARY – WestJet Airlines Ltd. reported a third-quarter profit of $45.9 million, down from a profit of $135.9 million in the same quarter last year amid rising fuel prices.
The airline says the profit amounted to 40 cents per diluted share for the quarter ended Sept. 30, compared with $1.15 per diluted share a year ago.
Revenue totalled $1.26 billion for the quarter, which included the busy summer travel period, up from $1.21 billion a year earlier.
Analysts on average had expected a profit of 33 cents per share for the quarter, according to Thomson Reuters Eikon.
WestJet says the drop in its quarterly profit compared with a year ago came amid an increasingly competitive environment and rising fuel prices.
Aircraft fuel costs per litre were up 37.1 per cent compared with a year ago.
WestJet’s capacity – measured by available seat miles – in the quarter was up 9.9 per cent from a year ago, while traffic – measured by revenue passenger miles – in the quarter increased 8.6 per cent.
Its load factor decreased to 84.6 per cent compared with 85.7 per cent a year ago.