Transat A.T. Inc., the parent company of Air Transat, disclosed a loss of $12.5 million in its most recent quarter, marking a stark contrast to the $41.2 million profit recorded in the corresponding quarter of the previous year. The loss equated to 52 cents per diluted share for the quarter ending on October 31, a significant decline from the $1.05 per diluted share profit reported a year earlier.
Revenue for Transat’s fourth quarter stood at $771.6 million, down from $788.8 million in the previous year. In the prior year, the company had received compensation linked to Pratt & Whitney GTF engine issues, which boosted revenue. Excluding the impact of this compensation, Transat indicated a marginal revenue increase of 1.5% compared to the previous year.
Adjusting for certain factors, Transat reported a loss of 42 cents per share in the latest quarter, in contrast to the adjusted profit of 81 cents per share in the same quarter of the previous year. The company recently managed to avoid a potential costly work stoppage by striking a new tentative contract agreement with its pilots.