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Cargojet reports C$30.5M profit and lower revenue for 1Q

Published 2023-05-01, 10:51 a/m
© Reuters Cargojet reports C$30.5M profit and lower revenue for 1Q
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Proactive Investors - Cargojet (TSX:TSX:CJT) has reported a year-over-year drop in revenue for the first quarter as the Mississauga, Ontario-based air cargo company was impacted by softening industry trends during the period.

Revenue for the quarter was C$231.9 million, down from C$233.6 million in the year-ago quarter.

The company’s profit was C$30.5 million, compared to a net loss of C$56.4 million in 2022.

Cargojet (TSX:CJT) CEO Dr Ajay Virmani said that the company was not immune to softening industry trends as well as macro factors of slower economic growth, higher interest rates, and persistent inflation.

“Despite the current softer economic conditions, the long-term macro trends that drive our business remain firmly intact,” Dr Virmani said in a statement.

“Ecommerce, continued demise of shopping malls, further pressure on business district shopping stores driven by remote work and passenger airlines shifting to narrow body aircraft, will continue to lead to increased air-cargo volumes.”

Cargojet shares had edged lower following the release of its results, down 1.2% at US$74.46.

Read more on Proactive Investors CA

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