Canada Jetlines Announces Fiscal 2022 Financial Results

TORONTO--()--Canada Jetlines Operations Ltd. (NEO: CJET) (“Canada Jetlines” or the “Company”) today reported full year 2022 annual financial results. All financial figures are in Canadian dollars and in accordance with IFRS as presented in the annual consolidated financial statements.

Full Year 2022 Financial Results

Total operating revenues for the 2022 year were $3,326,824. The Company started operating scheduled flights from September 22, 2022, representing the Company’s first revenues from operation. During this period the Company operated charters and ACMI (Aircraft, Crew, Maintenance, and Insurance) flights generating $2.4 million, representing 72% of the total revenue for the year.

Total operating expense of $15,940,511 million for the 2022 fiscal year increased from $3,392,470 compared to 2021. Increases were primarily driven by the airline commencing air service operations, as well as adding an additional aircraft during the year.

Total assets increased to $27,289,573 from $5,236,914 as at December 31, 2021. The increase in total assets compared to 2021 is primarily attributable to the capitalization of right of use assets associated with aircraft leases and increase in property and equipment.

Total liabilities increased to $28,948,171 from $1,068,599 as at December 31, 2021. The increase was made up of the liabilities associated with the two aircraft leases and increases in accounts payable and accrued liabilities explained by the timing of payments and invoices received at the end of the period.

Summary of Annual Results


December 31, 2022

December 31, 2021


$ 3,326,824

$ -

Income (loss) and comprehensive income (loss)

$ (13,438,121)

$ (3,100,717)

Earnings (loss) per share (basic and diluted)

$ (0.22)

$ (0.07)

Total assets

$ 27,289,573

$ 5,236,914

Total liabilities

$ 28,948,171

$ 1,068,599

Management Commentary

Eddy Doyle, CEO of Jetlines commented: “We are pleased to report that several key milestones were achieved in 2022 that allowed Canada Jetlines to get airborne. In March 2022, Canada Jetlines received determination of Canadian ownership and control by the CTA (Canadian Transportation Agency) and in the month of May 2022 the CTA concluded that the company had sufficient funds to meet the CTA requirements to issue its commercial license once the Air Operator Certificate (AOC) would be issued by Transport Canada.”

Mr. Doyle continued: “During all of 2022, Canada Jetlines worked assiduously towards the goal of completing the extensive process of obtaining its AOC for commercial large aircraft operations and taking possession of its first Airbus 320 aircraft. In August 2022, after months of preparation and crew training while still dealing with residual challenges and restrictions caused by the pandemic, the Company was proud to be the first airline in over a decade to obtain a new AOC from Transport Canada to operate large aircraft such as its Airbus 320 aircraft.”

Mr. Doyle further added: “In September, the Company operated its first revenue flights from Toronto to Calgary and was also in position to apply for foreign operating authority. Having anticipated and prepared for the extensive process to obtain permission to operate scheduled service of large passenger aircraft to the USA, Canada Jetlines was able to meet all the FAA and Department of Homeland Security requirements in record time and was granted such rights before the end of 2022.”

Mr. Doyle concluded: “In November 2022 the Company completed its first charter flight and several ACMI flights for other carriers. The charter component of the business grew rapidly in December 2022 and with the entry into service of its second aircraft, Canada Jetlines fleet was being fully utilized throughout the month with most of its flights being composed of charter and ACMI lease contracts.”

2023 Update

Mr. Doyle added: “In February 2023, the Company was proud to introduce Las Vegas as its first international scheduled destination, this was followed in March with a new route from Toronto to Cancun, Mexico. Charter flights and ACMI lease contracts continued to grow throughout the first quarter of 2023 and in March the Company announced it was chosen to provide an aircraft and crew for a 5-month ACMI contract beginning at the end of March, 2023.”

In March, Canada Jetlines announced it was in discussion with Qatar Airways for a potential codeshare agreement where Canada Jetlines would provide service between Toronto and Doha, subject to government approval and completing all applicable agreements between the two airlines. This would offer Canadian travelers access to Qatar Airways' unparalleled network via Doha to destinations in the Middle East, Africa, Indian Subcontinent and across Asia. Canada Jetlines intends to add two or more additional aircraft to its fleet in 2023 and continue to grow its schedule and Charter/ACMI business.


The Company ended the year with $3.1 million in current assets, a decrease of $1 million compared to year end 2021. The decrease is mainly due to the drop in cash balance that was used for operating expenses.

Current liabilities increased from $821K in 2021 to $8.2 million, mainly due to an increase of $4.1 million in leased aircraft liabilities as the Company grew its fleet from zero aircraft in 2021 to two aircraft by December 2022. In addition, there is $761K in the current portion of a loan payable, $2.2 million of ground handling and other liabilities associated with the addition of two leased aircraft.

Based on the Company’s working capital position, the Company will need to raise additional capital during the next twelve months and beyond to support its business plan. The Company is seeking additional capital in the form of debt, convertible debt or equity in order to further invest in the business and facilitate the continued growth of the fleet, including the acquisition of additional leased aircraft, as well as additional working capital.

This news release should be read in conjunction with Canada Jetlines’ audited 2022 Financial Statements and Management’s Discussion and Analysis available at

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Cautionary Note Regarding Forward-Looking Information

This news release contains "forward-looking information" concerning anticipated developments and events that may occur in the future. Forward-looking information contained in this news release includes but is not limited to the Company’s intention to operate as a leisure airline, the details of future ACMI contracts including their duration and the frequency of flights, future charter flights, the potential agreement with Qatar Airways and business of Canada Jetlines.

In certain cases, forward-looking information can be identified by the use of words such as "plans," "expects" "budget," "scheduled," "estimates," "forecasts," "intends," "anticipates" or variations of such words and phrases or statements that certain actions, events or results "may," "could," "would," "might" or "will be taken," "occur" or "be achieved" suggesting future outcomes, or other expectations, beliefs, plans, objectives, assumptions, intentions or statements about future events or performance. Forward-looking information contained in this news release is based on certain factors and assumptions regarding, among other things, the receipt of financing to commence airline operations, the accuracy, reliability and success of Jetlines’ business model; the continued compliance with the terms of governmental approvals; Jetlines concluding a definitive agreement for additional aircraft; the success of operations by Jetlines the legislative and regulatory environments of the jurisdictions where Jetlines will carry on business or have operations; the impact of competition and the competitive response to Jetlines’ business strategy; and the availability of aircraft. While the Company considers these assumptions to be reasonable based on information currently available to it, they may prove to be incorrect.

Forward-looking information involves known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by the forward-looking information. Such factors include risks related to, the ability to obtain financing at acceptable terms, the impact of general economic conditions, domestic and international airline industry conditions, the failure of the Company to conclude definitive agreements to acquire additional aircraft, supply chain disruptions causing delays in expected timelines, the impact of the global uncertainty created by COVID-19, future relations with shareholders, volatility of fuel prices, increases in operating costs, terrorism, pandemics, natural disasters, currency fluctuations, interest rates, risks specific to the airline industry, the ability of management to implement Jetlines’ operational strategy, the ability to attract qualified management and staff, labour disputes, regulatory risks, including risks relating to the acquisition of (or compliance with) the necessary licenses from regulatory agencies, and the additional risks identified in the "Risk Factors" section of the Company's reports and filings with applicable Canadian securities regulators. Although the Company has attempted to identify important factors that could cause actual results to differ materially from those described in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. Accordingly, readers should not place undue reliance on forward-looking information. The forward-looking information is made as of the date of this news release. Except as required by applicable securities laws, the Company does not undertake any obligation to publicly update any forward-looking information.



Investor Relations:
Percy Gyara
Chief Financial Officer
Canada Jetlines Operations Ltd
+1 647.921.7205



Investor Relations:
Percy Gyara
Chief Financial Officer
Canada Jetlines Operations Ltd
+1 647.921.7205