Tag Archives: 37092

WestJet reports record second quarter net earnings

WestJet (Calgary) today announced its second quarter results for 2015, with net earnings of $61.6 million (all amounts in Canadian dollars) ($47.3 million US), or $0.49 per fully diluted share, as compared with the net earnings of $51.8 million, or $0.40 per fully diluted share reported in the second quarter of 2014.

The airline continued:

WestJet logo

WestJet achieved an on-time performance rate of 91.3 percent in the second quarter, a year-over-year improvement of 6.8 percentage points, placing WestJet as the top performing North American airline during the quarter. Based on the trailing twelve months, the airline achieved a return on invested capital of 16.0 per cent, up 0.2 percentage points from the 15.8 per cent reported in the previous quarter.

“I would like to congratulate our more than 10,000 WestJetters on these exceptional second quarter results which marked our 5th quarter of consecutive record adjusted net earnings,” said WestJet President and CEO Gregg Saretsky. “The second quarter is historically our most challenging quarter as capacity is transitioned from southern to domestic markets, so it is particularly rewarding to turn in a double digit margin this quarter. With another quarter of record earnings, and after having exceeded our ROIC target for 12 consecutive quarters, we are pleased to announce that we are increasing our target to 13 to 16 per cent, while continuing our commitment to our brand of friendly, caring service and affordable fares.”

WestJet 2Q15 Results Table

On July 27, 2015, WestJet’s Board of Directors declared a cash dividend of $0.14 per common voting share and variable voting share for the third quarter of 2015, to be paid on September 30, 2015, to shareholders of record on September 16, 2015. 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.

In other news, WestJet today announced it has begun rolling out its new inflight entertainment system featuring wireless Internet connectivity and more than 450 movies and television programs. Called WestJet Connect, the system will be activated on all of WestJet’s Boeing 767-300 ER aircraft and more than 30 percent of WestJet’s Boeing Next-Generation 737 aircraft by end of 2015, with installations on the majority of the 737 fleet expected to be completed in 2016.

Mobile devices and tablets using either iOS or Android operating systems will need the latest version of the WestJet app prior to boarding. Guests will also be able to access WestJet Connect using their laptops. Tablet rentals will be available on flights longer than three hours and 20 minutes for guests who do not have their own device. The WestJet app will take guests to the WestJet Connect home page where they can begin accessing content. Seats on WestJet Connect-equipped aircraft have 110-volt and/or USB power outlets, allowing guests the opportunity to charge or power their devices.

At launch, WestJet Connect will feature 85 movies and 329 TV programs, including expanded content in French. Content will be refreshed on a monthly basis and will be offered at no charge for an introductory period. The system’s Internet connectivity will be available at an introductory price of $7.99 plus applicable taxes for the duration of each flight.

Once installation is complete, WestJet Connect will be available on all WestJet flights operated on Boeing Next-Generation 737s or 767-300 ER aircraft.

Copyright Photo: TMK Photography/AirlinersGallery.com. WestJet Airlines’ Boeing 737-8CT WL C-GWSZ (msn 37092) in the special Walt Disney World – Magic Plane scheme arrives at Toronto (Pearson).

WestJet aircraft slide show: AG Airline Slide Show

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WestJet to increase Vancouver-Toronto capacity by more than 10% this summer

WestJet (Calgary) has announced even more nonstop flights between Vancouver and Toronto as Canadians prepare for the busy summer travel season.

WestJet will add nearly two dozen more flights between May 3 and October 24, increasing overall capacity between Vancouver and Toronto by more than 10 percent. The schedule features up to 10 daily flights in the spring, 11 during the peak travel months of July and August, and nine in the fall.

WestJet also offers up to 12 daily nonstop flights between Calgary and Toronto, nine from Edmonton to Toronto and six from Winnipeg to Toronto.

Copyright Photo: Chris Sands/AirlinersGallery.com. Boeing 737-8CT C-GWSZ (msn 37092) in the special Magic Plane scheme of Walt Disney World departs from Calgary.

Westjet aircraft slide show: AG Airline Slide Show

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WestJet reports record third quarter net earnings of C$85.4 million

WestJet (Calgary) has announced its third quarter 2014 results, with record adjusted net earnings of $85.4 million (all amounts in Canadian dollars), or $0.66 per diluted share. This compares with the net earnings of $65.1 million, or $0.50 per diluted share reported in the third quarter of 2013, up 31.2 per cent and 32.0 per cent, respectively. Based on the trailing twelve months, the airline achieved a return on invested capital of 13.8 per cent, compared with the 13.7 per cent reported in the previous quarter. These adjusted results exclude a pre-tax non-cash loss of $45.5 million associated with the previously disclosed sale of 10 of our oldest Boeing 737 aircraft.

In September, WestJet announced the launch of its new WestJet Rewards tiers program, which will make frequent guests eligible for higher WestJet dollar earn rates on WestJet flights, additional companion flights, and new easy-to-use flight benefits. Here is a video of “Profit Share” from two years ago:

Video Above: Twice per year, in November and May, WestJet shares a portion of its profits with its employees. According to the airline, “We make a fun video to play at our profit share party and this is just one of a long list of videos we’ve made over the past few years. Enjoy!”

Top Copyright Photo: Michael B. Ing/AirlinersGallery.com. Boeing 737-8CT C-GWSZ (msn 37092) in the special “Magic Plane” color scheme promoting Walt Disney World arrives in Los Angeles.

WestJet: AG Slide Show

WestJet to start trans-Atlantic flights to Dublin, Ireland

WestJet (Calgary) tonight (June 15) will mark a key milestone in its 18-year history with the launch of its first scheduled trans-Atlantic service between Toronto and Dublin, Ireland, with a brief stop in St. John’s, Newfoundland. The flight will arrive in Dublin tomorrow (June 16) at 7 a.m. (0700) local time.

Announced in November 2013, WestJet offered introductory fares between Toronto and Dublin starting from $199 including taxes, fees and surcharges on all flights in both directions from June 15 to October 5, 2014 – fares which sold out within the first 24 hours. Today, the service is heavily booked and well ahead of projections, recently prompting a three-week extension to October 25, 2014.

Details of WestJet’s new daily Dublin service from St. John’s are:

WestJet 6.2014 DUB schedule (WestJet)

Copyright Photo: TMK Photography/AirlinersGallery.com. Boeing 737-8CT C-GWSZ (msn 37092) taxies at Toronto (Pearson) in the special Walt Disney World “Magic Plane” color scheme.

WestJet: AG Slide Show

 

WestJet to apply to Transport Canada for a PED exemption

WestJet (Calgary) has announced it will apply to Transport Canada for an exemption to allow guests greater use of their portable electronic devices (PEDs) during flights. The move follows word that the regulator will allow expanded use of PEDs in Canada.

The announcement by Transport Canada effectively allows airlines to begin the process of meeting conditions required to receive permission to allow guests to use PEDs in all phases of flight including taxi-in and out, take-off and landing, providing the device is in non-transmitting or flight mode.

WestJet has completed comprehensive testing of its Boeing Next-Generation 737 fleet in connection with efforts to certify its recently-announced inflight entertainment system and connectivity, which will support the expanded use of PEDs. However, the airline must still demonstrate through its exemption application that radio frequency emissions from PEDs do not pose a risk to aircraft systems and equipment and that all hazards are mitigated before allowing the use of PEDs on board. This is in addition to training flight crews and amending operating manuals.

WestJet expects Transport Canada approval to allow guests greater use of PEDs early this summer.

Copyright Photo: TMK Photography/AirlinersGallery.com. Boeing 737-8CT C-GWSZ (msn 37092) in the special Walt Disney World “Magic Plane” color scheme taxies at the Toronto (Pearson) hub.

WestJet: AG Slide Show

WestJet reports record profits for 2013 and its 35th consecutive profitable quarter

WestJet (Calgary) today announced its fourth quarter and year-end results for 2013, with record net earnings of $268.7 million (all figures in Canadian dollars), or $2.03 per diluted share, up from the net earnings of $242.4 million, or $1.78 per diluted share reported for the full-year 2012. For the fourth quarter, the airline reported diluted earnings per share of $0.52, up from $0.46 reported last year. This represents WestJet’s 35th consecutive quarter of profitability, and based on the trailing twelve months, the airline achieved a return on invested capital of 13.9 per cent, compared with the 13.8 per cent reported in the previous quarter.

Operating highlights (stated in Canadian dollars)
Q4 2013 Q4 2012 Change Full-year
2013
Full-year
2012
Change
Net earnings (millions) $67.8 $60.9 11.3% $268.7 $242.4 10.9%
Diluted earnings per share $0.52 $0.46 13.0% $2.03 $1.78 14.0%
Total revenues (millions) $926.4 $860.6 7.6% $3,662.2 $3,427.4 6.9%
Operating margin 11.0% 10.6% 0.4 pts 10.9% 11.0% (0.1 pts)
ASMs (available seat miles) (billions) 5.942 5.487 8.3% 23.971 22.064 8.6%
RPMs (revenue passenger miles) (billions) 4.769 4.493 6.1% 19.591 18.263 7.3%
Load factor 80.3% 81.9% (1.6 pts) 81.7% 82.8% (1.1 pts)
Segment guests 4,557,606 4,314,024 5.6% 18,485,144 17,423,352 6.1%
Yield (revenue per revenue passenger mile) (cents) 19.43 19.16 1.4% 18.69 18.77 (0.4%)
RASM (revenue per available seat mile) (cents) 15.59 15.68 (0.6%) 15.28 15.53 (1.6%)
CASM (cost per available seat mile) (cents) 13.88 14.01 (0.9%) 13.61 13.83 (1.6%)
CASM, excluding fuel and employee profit share (cents)* 9.29 9.32 (0.3%) 9.06 9.12 (0.7%)
*Refer to reconciliations in the accompanying tables for further information regarding calculations.

WestJet also declared a 20 per cent increase to its quarterly dividend from $0.10 to $0.12 per common voting share and variable voting share.

WestJet expects continued strong traffic and revenue growth in the first quarter of 2014, and to achieve continued earnings growth for the full-year 2014.

Dividend declaration

On February 3, 2014, WestJet’s Board of Directors declared a cash dividend of $0.12 per common voting share and variable voting share for the first quarter of 2014, to be paid on March 31, 2014, to shareholders of record on March 19, 2014. 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.

Copyright Photo: TMK Photography/AirlinersGallery.com. Another view of WestJet’s new Walt Disney World “Magic Plane” at Toronto (Pearson).

WestJet: AG Slide Show

WestJet to expand operations with new summer routes and frequencies, will bring Encore to Toronto and fly to Europe

WestJet (Calgary) today announced its most comprehensive schedule release since the airline took to the skies in 1996. As part of the 2014 summer schedule, the airline is adding five new routes, increasing frequency on 20 existing routes across the network, while five seasonal routes move to year-round service.

Following its successful launch in Western Canada, WestJet Encore moves east to start service in Toronto with flights between Toronto (Pearson) and Thunder Bay. WestJet Encore will also offer service between Thunder Bay and Winnipeg.

WestJet Encore will also launch new routes between Fort McMurray and Kelowna, British Columbia and Fort McMurray and Vancouver as part of the largest single increase of flights to Fort McMurray since WestJet first began service to the area. The Fort McMurray expansion also includes new WestJet nonstop flights to Las Vegas, conversion of daily Toronto nonstop flights to year-round service, and frequency increases to both Calgary and Edmonton.

The summer of 2014 will see WestJet’s first foray into the European, trans-Atlantic market with direct flights between Toronto and Dublin beginning on June 15, 2014.  Other summer highlights include new daily nonstop flights between Calgary and Prince George, British Columbia and from Calgary to New York’s JFK International Airport, as well as service increases to 15 popular southern destinations including Palm Springs, Los Angeles, Las Vegas, Fort Lauderdale/Hollywood and Phoenix in addition to well-travelled Caribbean and Mexican spots.

Details of WestJet and WestJet Encore’s new routes for the summer 2014 schedule:

Route Flights/Week Departing Arriving Effective
Calgary-New York JFK 7 10:35 a.m. 5:00 p.m. April 27, 2014
New York JFK-Calgary 7 5:55 p.m. 9:10 p.m. April 27, 2014
Calgary-Prince George 7 10:00 p.m. 10:27 p.m. April 27, 2014
Prince George-Calgary 7 6:00 a.m. 8:27 a.m. April 27, 2014
Fort McMurray-Vancouver 7 11:00 a.m. 12:30 p.m. May 12, 2014
Vancouver-Fort McMurray 7 1:30 p.m. 4:53 p.m. May 12, 2014
Fort McMurray-Kelowna 7 10:25 p.m. 11:27 p.m. May 12, 2014
Kelowna-Fort McMurray 7 7:30 a.m. 10:23 a.m. May 12, 2014
Fort McMurray-Las Vegas 2 8:50 p.m. 11:21 p.m. June 24, 2014
Las Vegas-Fort McMurray 2 3:23 p.m. 7:55 p.m. June 24, 2014

Copyright Photo: Michael B. Ing/AirlinersGallery.com. Boeing 737-8CT C-GWSZ (msn 37092) in the Walt Disney World “Magic Plane” climbs away from Los Angeles International Airport.

WestJet:AG Slide Show