Flagship air carrier Air Canada suspended its guidance for its third quarter for the operating results of the full year of 2025, as flight attendants go on strike, as per a press release by the airline.
“Given the effects of the labour disruption and related impact on operations, Air Canada is suspending its guidance for third quarter and full-year 2025 operating results provided in its July 28, 2025 news release,” read the official statement.
Guidance is a term used to describe forecasts provided by companies for their future earnings. As standard practice, companies may suspend these forecasts for the fiscal year if unexpected events occur that are considered potential risks to the business.
Newsletter
Get weekly updates on the newest crypto stories, case studies and tips right in your mailbox.
The update comes as 10,000 flight attendants have not resumed their jobs under the directive of CUPE (Canadian Union of Public Employees). The airline employees are seeking compensation for unpaid hours and wage increases. The CIRB (Canadian Industrial Relations Board) has deemed the strikes illegal and has said flight attendants should resume working.
Contained in the company’s second-quarter results, the guidance for 2025 had projected figures of $3.2 billion to $3.6 billion and a free cash flow of +/-$200 million. Air Canada reported operating revenues of $5.632 billion and adjusted net income of $207 million.
Air Canada says 500,000 flights have been cancelled
The company estimates that a total of 500,000 flights have been cancelled due to the disruption.
Aviation analyst John Gradek previously said the airline faces losses of $50 to $60 million (CAD) if the strikes happen.
Source: Google Finance
