TORONTO — Canada Jetlines capped off a successful Q2 in 2023 by achieving several key milestones.
In its second quarter 2023 interim financial results, the airline is reporting total operating revenues of $8.8 million, compared to $5.1 million in the previous quarter, an increase of 72.8%. Canada Jetlines continues to increase the operation of charter and ACMI (Aircraft, Crew, Maintenance and Insurance) flights, generating $6.34 million this quarter as compared to $3.38 million in the previous quarter, an increase of 87.5%.
Total operating expenses for Q2 were $9.23 million, compared to $8.15 million in Q1, an increase of 13%. According to the airlines, increases were primarily driven by increased flying activity.
Total assets increased to $27,860,429 at the end of the current quarter, from $27,289,573 as at Dec. 31, 2022. Total liability increased to $33,753,436 at the end of the current quarter, from $28,948,171 as at Dec. 31, 2022.
“We are pleased to report that several key milestones were achieved in Q2 2023. The company has achieved exceptional flying hours in Q2 2023 as compared to Q1 2023, an increase of 265% and a 72.8% in its operating revenue,” said Eddy Doyle, CEO and President of Canada Jetlines.
“Canada Jetlines also took delivery of its third aircraft at the end of July 2023. The company intends to add up to two additional aircraft to its fleet in 2023 and continue to grow its schedule with the upcoming fall/winter season, and grow its Charter/ACMI business,” he added.
LIQUIDITY
Canada Jetlines ended the quarter with $5.1 million in current assets, an increase of $2 million compared to Dec. 31, 2022. The increase is mainly due to the increase in cash balance.
Current liabilities increased from $8.2 million at Dec. 31, 2022 to $13.1 million. In addition, there is a $4 million increase in deferred revenue for cash collected in terms of future flying.
Based on Jetlines’ working capital position, it will need to raise additional capital to support its business plan. It is seeking additional capital in the form of debt, convertible debt or equity in order to grow its fleet, including the acquisition of additional leased aircraft as well as additional working capital.
