Chorus Aviation has reported stronger second-quarter results, citing growth at its Voyageur subsidiary and stable earnings from its capacity purchase agreement (CPA) with Air Canada.
The Halifax-based company also announced a new quarterly dividend and a planned acquisition to bolster engineering capabilities.
Adjusted net income from continuing operations rose to C$17.2 million ($12.5 million), up 59% from the same period in 2024, while adjusted EBITDA increased modestly to C$51.3 million ($37.3 million). Net income surged to C$32.4 million ($23.5 million), compared to C$8.5 million ($6.18 million) a year earlier, boosted by a C$17.6 million ($12.8 million) positive swing in foreign exchange.
“Our second quarter results reflect solid performance on all key financial metrics and concrete actions to return capital to shareholders, while re-investing in Chorus’ growth and high-potential capabilities,” said Colin Copp, president and chief executive officer, Chorus.
In July, Chorus agreed to acquire Elisen & Associates, a Montreal-based aerospace engineering and certification firm. The move is seen as a strategic play to support long-term growth.
The company also said it will redeem its outstanding Series B debentures worth C$28.7 million ($20.8 million) and has repurchased C$27.2 million ($19.7 million) in shares this year through its NCIB and substantial issuer bid.
Chorus initiated a quarterly dividend, marking a shift toward capital returns. The payout is expected to grow in line with the business, the company said.
Operationally, Voyageur delivered the first of two Dash 8-300 “Fireswift” aerial firefighting aircraft to US-based defence firm Metrea.
For the first six months of 2025, Chorus reported adjusted EBITDA of C$108.2 million ($78.7 million) and net income of C$51.4 million ($37.4 million), compared to C$13.9 million ($10.1 million) a year ago.
Looking ahead, Chorus reiterated that its CPA with Air Canada will continue to generate stable cash flows, with fixed margin and lease revenue forecast at C$180.6 million ($131.4 million) in 2025. The company plans to sell or re-lease nine Dash 8-400s over the next 18 months as leases expire.