Q: What's your take on AC Q4 and year-end results? Thanks
5i Research Answer:
EPS was a loss of 61c vs estimates of -33c. Revenue of $4.68B was 4% better than estimates. Available seat miles will be 90% of 2019 levels this year, and it is getting back to pre-pandemic levels. Operating revenue rose 71%. Seat miles rose 59%. Load factor was 82.8% vs 68.4% last year and 82% estimated. 2023 and 2024 guidance was a big range, but within current estimates. Business is improving, no doubt, but the company continues to get hit by cost inflation. The stock took a big hit but with the price adjustment embedded we would maintain a position and decent outlook overall from current levels.