WestJet has announced its third quarter results for 2019, with net earnings of $119.4 million, or $1.02 per fully diluted share compared with net earnings of $70.1 million, or $0.61 per fully diluted share reported in the third quarter of 2018, a year-over-year increase of 70.4 per cent and 67.2 per cent respectively.
“We are very pleased with these remarkable results, achieving our highest ever third quarter load factor, second-highest ever third quarter net earnings and the third-highest quarterly net earnings in WestJet’s history,” said Ed Sims, WestJet President and CEO. “These results would not have been possible without the continued energy and dedication of all 14,000 WestJetters in delivering our award-winning brand of friendly and caring service through the busy summer period. I also want to thank the almost seven million guests who travelled with us in the third quarter for their continued support.”
Operating highlights* (stated in Canadian dollars)
| Q3 2019 | Q3 2018 | Change | |
| Net earnings (millions) | $119.4 | $70.1 | 70.4% |
| Diluted earnings per share | $1.02 | $0.61 | 67.2% |
| Total revenue (millions) | $1,392.9 | $1,260.9 | 10.5% |
| Operating margin | 13.5% | 8.0% | 5.5 pts. |
| ASMs (available seat miles) (billions) | 8.838 | 8.880 | (0.5%) |
| RPMs (revenue passenger miles) (billions) | 7.671 | 7.517 | 2.1% |
| Load factor | 86.8% | 84.6% | 2.2 pts. |
| Segment guests | 6,812,228 | 6,940,569 | (1.8%) |
| Yield (revenue per revenue passenger mile) (cents) | 18.16 | 16.78 | 8.2% |
| RASM (revenue per available seat mile) (cents) | 15.76 | 14.20 | 11.0% |
| CASM (cost per available seat mile) (cents) | 13.64 | 13.06 | 4.4% |
| Fuel costs per litre (cents) | 76 | 85 | (10.6%) |
| CASM, excluding fuel and employee profit share (cents)* | 9.96 | 9.10 | 9.5% |
| *Refer to reconciliations in the accompanying tables for further information regarding calculations. |
Dividend declaration
On October 28, 2019, WestJet’s Board of Directors declared a cash dividend of $0.14 per common voting share and variable voting share for the fourth quarter of 2019, to be paid on December 31, 2019, to shareholders of record on December 18, 2019. All dividends paid by WestJet are, pursuant to subsection 89(14) of the Income Tax Act, designated as eligible dividends, unless indicated otherwise. An eligible dividend paid to a Canadian resident is entitled to the enhanced dividend tax credit.