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Air Canada lowers financial forecast amid declining cross-border travel

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MONTREAL - Air Canada is lowering its financial forecast for the year as travellers shy away from trips to the United States.
Air Canada has revised its financial outlook downwards for the third time this year, citing a persistent decline in cross-border travel demand. The airline now expects its adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) to be between $2.75 billion and $3.25 billion for the year, a reduction from the previously forecasted range of $3.5 billion to $4 billion. This adjustment comes amidst challenges such as reduced business travel, increased competition, and economic uncertainty. Air Canada also reported a significant drop in its second-quarter profits, with net income falling to $838 million from $1.25 billion the previous year, reflecting the broader difficulties faced by the airline industry in recovering from the impacts of the global health crisis and adapting to changing travel patterns.

Read the Full Toronto Star Article at:
[ https://www.thestar.com/business/air-canada-lowers-financial-forecast-amid-declining-cross-border-travel/article_4040320e-4800-531c-83e0-73738f307c2c.html ]