Cargojet reported C$231.9 (US$ 170.5) million revenue in first quarter 2023 (Q1 2023) revenue, down on the C$233.6 million for 2022.
Gross margin for the quarter was C$45.5 million compared to Q1 2022's C$66.9 million, with adjusted EBITDA at C$75 million compared to Q1 2022's C$83 million. Adjusted free cash flow was almost the same, at C$42.5 million compared to C$42.7 million.
Net income for the quarter was C$30.5 million, or C$6 million excluding warrant valuation gain, up on the net C$56.4 million loss for Q1 2022.
"Consumers shifted from buying goods to spending on services during the post-pandemic period, prioritising travel and leisure over the past year. With the re-opening of the economy, there was also a pent-up demand to visit physical stores and experience outdoors," said Ajay Virmani, president and chief executive.
"Cargojet is not immune to the softening industry trends as well as the macro factors of slower economic growth, higher interest rates and persistent inflation," Virmani added.