Air Canada has issued its 2023 Annual Report highlighting the carrier's achievements for the year. In addition to strong financial results, including record annual revenue, the airline says it made progress on key strategic initiatives.
"Air Canada delivered very strong results in 2023. We met key financial objectives and advanced or exceeded most of our strategic and operational goals for the year, demonstrating our ability to perform consistently," said Michael Rousseau, President and CEO.
Air Canada president and CEO Michael Rousseau (Photo Credit: Air Canada Media License)
"We continued to renew our fleet with more fuel-efficient and comfortable aircraft, and we expanded our network and products to offer more choice and convenience to our customers. We also advanced our Environmental, Social and Governance programs through our sustainability, equity and accessibility activities and supported the communities we serve, including by providing thousands of employment opportunities,” Rousseau added.
Looking ahead, Rousseau sees positive signs.
"Air Canada has a solid foundation to build upon and a clear vision for the future as a leader in the global aviation industry, connecting Canada to the world, and as a trusted partner for all our stakeholders. I thank our customers for their loyalty, our 39,000 employees for their hard work and dedication to safe operations and our investors for their support throughout the year."
The 2023 Annual Report celebrates a year of accomplishments for Air Canada.
Air Canada’s key accomplishments for 2023 included:
· Safely carried 46 million passengers and earned full year operating income of $2.3 billion on record operating revenue of $21.8 billion.
· Launched 14 new routes to serve 188 direct destinations. In support of its ongoing fleet renewal and network expansion it sourced 18 Boeing 787-10 Dreamliner and five Boeing 737 MAX-8 fuel-efficient aircraft for future delivery.
· Hired 8,000 people during the year, bringing the total employee count to approximately 39,000 and, through $1.6 billion in capital expenditures during the year, including within Canada, invested in such things as new aircraft, technology and customer service improvements.
· Furthered its business diversification, with Aeroplan reaching eight million members, Air Canada Cargo deploying its seven cargo freighters to more than 12 destinations, and Air Canada Vacations materially increasing its revenues.
· Adjusted EBITDA more than doubled, reaching nearly $4 billion, and the airline generated cash from operating activities of approximately $4.3 billion and free cash flow* of nearly $2.8 billion.
· Debt reduction: Reduced its leverage ratio to 1.1 times adjusted EBITDA from 5.1 times adjusted EBITDA at December 31, 2022, and ended the year with total liquidity of $10.3 billion.
· Completed 41 initiatives under its Elevating the Customer Experience service plan and improved key operating metrics, such as on-time performance and baggage handling. In addition, it accelerated its three-year accessibility plan to better accommodate customers with disabilities.
· Worked toward its climate action plan through various initiatives, including with the addition of modern and efficient aircraft and ground support equipment (e-GSE vehicles) to the fleet, sourcing additional SAF and continuing to engage with corporate customers through its Leave Less Travel Program.
· Supported, with the Air Canada Foundation, 360 Canadian charitable organizations dedicated to the health and well-being of children. The Foundation raised more than $1.7 million, and the Dreams Take Flight program resumed flying, allowing more than 1,000 children to create treasured experiences
The report is available in the Investor Relations section of Air Canada’s website.
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