Cargojet Inc. ("Cargojet" or the "Corporation") (TSX: CJT) announced today financial results for the fourth quarter and year ended December 31, 2020.
Total Revenues for the quarter were $187.1 million compared to fourth quarter 2019 Revenues of $139.7 million. Gross Margin for the quarter was $69.3 million compared to fourth quarter 2019 Gross Margin of $41.6 million. Adjusted EBITDA and Adjusted EBITDAR for the quarter were $81.9 million compared to the fourth quarter 2019 Adjusted EBITDA and Adjusted EBITDAR of $47.2 million.
2020 was a transformational year and the key highlights include:
- Total Revenues for the year were $668.5 million compared $486.6 million in 2019.
- Highly diversified revenue growth with each line of business posting record gains vs. prior year:
- Domestic overnight accounted for 45% of revenues;
- ACMI accounting for 20% of revenues;
- All-in-Charters accounting for 18% of revenues
- Gross Margin for the year was $250.5 million compared to $119.2 million in 2019.
- Adjusted EBITDA and Adjusted EBITDAR for the year were $291.4 million compared to $156.0 million and $156.8 million respectively for 2019.
- Adjusted Free cash flow for the year $196.8 million.
- Available liquidity of $525 million from Cargojet's committed 5-year revolving $600 million credit facility. 100% of the facility is available at March 1, 2021.
- Reduction in net-debt of $63 million.
- Overall leverage at 2.0X Adjusted EBITDAR.
- Fleet size increased to 28 all-cargo aircrafts.
- Operated a record 52,225 flight block hours in 2020 vs.35,704 in 2019 an increase of 46.3%.
"2020 reminded us of the old saying that adversity builds character. From the start of the pandemic, to our business being declared an essential service, to building unprecedented safety protocols to keep our employees safe while keeping the nation's supply chains moving, Cargojet demonstrated unparalleled resilience." said Dr. Ajay Virmani, President & CEO. "Each one of our team members understood that with major parts of our economy under lock-down, Cargojet must rise to the challenge of meeting unprecedented demand in e-commerce volumes that our customers were expecting us to fly." Commented Dr. Virmani.
"We were truly humbled by the trust and faith shown by our customers in Cargojet especially during one of the most challenging times in our history" further noted Dr.Virmani.
"As the economy slowly re-opens, we expect B2B e-commerce to return back to pre-pandemic levels. At the same time, with a strong customer base and a healthy balance sheet, we are now embarking on the next phase of our growth by capturing international cargo opportunities. The disruption caused by vastly reduced passenger airline belly capacity has created new opportunities in international cargo that we are well positioned to go after." concluded Dr. Virmani.