Overview

* Air Canada ( ACDVF ) Q3 revenue declines 5% yr/yr, missing analyst expectations

* Adjusted EPS for Q3 misses analyst expectations

* Company announces share buyback program for up to 29.6 mln shares

Outlook

* Air Canada ( ACDVF ) updates 2025 adjusted EBITDA guidance to C$2.95 bln-C$3.05 bln

* In 2025, ASM capacity expected to increase by about 0.75% vs 2024

* Free cash flow guidance improved to C$0 to C$200 mln

Result Drivers

* LABOR DISRUPTION - Q3 performance affected by labor disruption during peak summer season, impacting operations

* ATLANTIC MARKET STRENGTH - Strong performance in the Atlantic market and premium cabins contributed positively to results

* OPERATIONAL METRICS - On-time performance and net promoter score exceeded internal targets and last year's levels

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q3 Miss C$5.77 C$5.83

Revenue bln bln (12

Analysts

)

Q3 Miss C$0.75 C$0.94

Adjusted (12

EPS Analysts

)

Q3 EPS C$0.88

Q3 Net C$264

Income mln

Q3 4.90%

Operatin

g Margin

Press Release:

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)