Chorus Aviation reports third-quarter 2021 financial results

In the third quarter of 2021, Chorus Aviation reported adjusted EBITDA of CA$78.1 million, a decrease of CA$7.8 million relative to the third quarter of 2020. The Regional Aircraft Leasing (RAL) segment’s adjusted EBITDA was essentially unchanged from the prior quarter due to additional aircraft earning lease revenue offset by lower lease revenue attributable to negotiated amendments to certain lease agreements including extensions and lower earnings due to a lower US dollar exchange rate. The Regional Aviation Services (RAS) segment’s adjusted EBITDA decreased by CA$7.7 million.

Adjusted net income was CA$15.3 million for the quarter, an increase of CA$4.4 million while net income decreased CA$34.5 million over the prior period.

As of September 30, 2021, Chorus’ liquidity was CA$258.1 million including cash of CA$223.2 million and CA$34.9 million of available room on its operating credit facility. Liquidity increased from the second quarter of 2021 by CA$80.2 million primarily due to the issuance of the Series C Debentures for net proceeds of CA$80.9 million (CA$29.8 million of which is currently held in a restricted cash account established in exchange for a conditional waiver of the 35% repayment obligation under the Unsecured Revolving Credit Facility). The net proceeds from the issuance will be used primarily to partially redeem or repay existing indebtedness, including the 6.00% Debentures which may be redeemed by Chorus on or after December 31, 2021. (£1.00 = CA$1.68 at time of publication)

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