Markets

Sector Update: Industrials; WestJet, Air Canada Report Load Factor for June

Industrial stocks were mixed in afternoon trading, and the S&P/TSX Industrials index was down 0.9%.

WestJet (WJA.TO): +0.6%

Air Canada (AC-B.TO): -1.8%

Canadian Pacific Railway (CP.TO): -1.9%

Canadian National Railway (CNR.TO): -0.6%

Bombardier (BBD-B.TO): -0.3%

In corporate news, WestJet Monday reported June 2014 traffic results with a load factor of 77.4%, an increase of 0.6 percentage points year over year. Revenue passenger miles (RPMs), or traffic, increased 5% year over year, and capacity, measured in available seat miles (ASMs), was 4.3% higher over the same period. WestJet achieved an on-time performance rate of 85.6% in June, an improvement of 5.0 percentage points year over year. In the second quarter of 2014, the airline achieved a load factor of 79.6% and flew nearly 4.8 million guests, a year-over-year increase of 6.2% or approximately 280,000 additional guests.

The carrier is also moving forward with plans that would see the airline fly its own wide-body aircraft as early as fall 2015. It expects to operate four wide-body aircraft with the first deployments on routes between Alberta and Hawaii during the winter season beginning in late 2015. The airline's current winter service between Alberta and Hawaii, via two Boeing 757-200s operated by Thomas Cook, is ending in the spring of 2015.

Meanwhile, for the month of June, Air Canada reported a record system load factor of 85.7%, versus 85% in June 2013, an increase of 0.7 percentage points on a system-wide capacity increase of 9.8%. On this additional capacity, system wide traffic for June increased 10.6%. Air Canada reports traffic results on a system-wide basis, including Air Canada rouge, which began operations on July 1, 2013, and regional airlines from which Air Canada purchases capacity.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Copyright (C) 2016 MTNewswires.com. All rights reserved. Unauthorized reproduction is strictly prohibited.


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Other Topics

Commodities