Cargojet Airways has reported a C$4.3 million ($3.3 million) net profit for the second quarter ending 30 June despite a broader malaise in the air cargo market.
Profits dipped slightly year-over-year from C$4.7 million reported during the second quarter of 2018.
The Ontario-based cargo carrier reports a 9% higher operating revenue year-on-year of C$119.1 million, rising from C$109 million during 2018. Operating expenses for the quarter kept pace at C$92 million, a 9% increase year-on-year from C$83 million.
In a statement, Cargojet chief executive Ajay Virmani credits the quarterly profit to “a strong financial discipline combined with continued strength in our core business”. The cargo service provides the majority of overnight delivery in Canada, with customers including Amazon and Canada’s postal service.
“As the courier industry shifts to seven days-a-week delivery model to accommodate faster service expectations of e-commerce retailers, we are uniquely positioned to execute on this new model,” Virmani says.
Global air cargo service has stymied since 2018, International Air Transport Association general director Alexandre de Juniac told FlightGlobal in May. “Trade wars and protectionist measures have had an impact on international trade – which is now flat,” says de Juniac, whose association publishes global air cargo reports.
Cargojet ended the second quarter with a fleet of 22 freighters in service, only two more since second quarter of 2018. The fleet consists of Boeing 767-300Fs and 767-200Fs, Cirium’s Fleets Analyzer shows.
Source: Cirium Dashboard