Transat A. T. is still in the red, but the Quebec tour operator is finally seeing a rate of reservations equivalent to that before the COVID-19 pandemic – which has strongly affected its financial health.
“Strong demand is contributing to higher prices, which helps to deal with rising costs,” said the company’s president and chief executive officer, Annick Guérard, on Thursday, on the occasion of the publication of the results. of the fourth quarter. If the trend continues, our outlook for 2023 is encouraging.”
For the moment, fears of recession do not seem to dampen travellers’ enthusiasm.
However, the parent company of Air Transat has not yet turned the page on the health crisis, even though its performance exceeded expectations during the fourth quarter, which ended on October 31.
In the last three months of the fiscal year, the company’s net loss was $126.2 million, or $3.32 per share, compared to $121.3 million, or $3.21 per share , one year ago.
Thanks to health restrictions around the world, revenues rose to 573 million from 63 million in the fourth quarter last year.
“The resumption of travel, already very real in the third quarter, accelerated in the fourth, indicated Mr.me Guerard. It means people maintain their wanderlust […] even in an environment of economic slowdown and inflation.
Excluding non-recurring items, Transat A.T.’s adjusted loss was $76 million, or $2 per share, compared to $118 million, or $3.34 per share, in the fourth quarter last year.
Analysts polled by Refinitiv were expecting revenue of $555 million on an adjusted loss per share of $2.40.
Despite the recovery, the tour operator’s reserves are dwindling. As of October 31, the company had access to 422 million, compared to 603 million at the same time in 2021.
For the year, Transat A.T. generated revenue of $1.6 billion, compared to $125 million in 2021. Its net loss was $445 million, or $11.77 per share, while it had been 390 million, or $10.32 per share, last year.
- 4035 people
- This was the workforce of Transat A.T. and its subsidiaries as of October 31.
SOURCE: transat a. t.