Strong Q2 performance for Cargojet

Cargojet Boeing 727 Advanced Freighter

Cargojet’s revenues increased $8.9 million to $88.2 million in the second quarter (Q2) of this year, a rise of 11.2 per cent on Q2 last year.

And for the quarter ending 30 June, the gross margin was $23.3 million, a rise of $2.4 million, or 11.5 per cent versus the previous year.

Adjusted earnings before interest, tax, depreciation and amortization (EBITDA) was $24.6 million, an increase of $2.1 million or 9.3 per cent over Q2 in 2016.

Adjusted earnings before interest, taxes, depreciation, amortization, and restructuring or rent costs (EBITDAR) was $28.3 million, an increase of $1.4 million or 5.2 per cent versus the previous year.

President and chief executive officer, Ajay Virmani says: “We are very pleased with the financial and operating results produced during the quarter.

“The significant increase in revenues over the previous year was the result of the successful execution of our strategy to improve the utilisation of our aircraft assets and to maximise margins.

“We continue to prudently manage our operating costs and look for further route network optimisation opportunities.”

The Canadian carrier moves approximately 1,300,000 pounds of cargo every night and operates its network across North America, utilising a fleet of 18 freighters.