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Cargojet foresees 'much stronger' second half of year as e-commerce sales rise
MISSISSAUGA, Ont. — The co-CEO of Cargojet Inc. says rising e-commerce demand will fuel major business gains in the second half of the year after boosting revenues in its latest quarter.
Jamie Porteous, co-chief executive officer at the air freight company, told analysts today that the remainder of 2024 will be "much stronger" than the first six months due to resurgent online sales.
He says revenue growth of about 10 per cent year-over-year in Cargojet's second quarter stands out given the broader economic slowdown.
Porteous says the full impact of a three-year deal signed in June with Chinese company Great Vision HK Express to provide scheduled charter flights between Vancouver and China will add more than $50 million a year to annual revenues as demand persists.
Market research firm Emarketer projects e-commerce retail sales in Canada will grow 6.8 per cent in 2024.
Porteous says Cargojet plans to bolster its fleet to 43 planes by the end of next year, up from 41 currently.
This report by The Canadian Press was first published Aug. 14, 2024.
Companies in this story: (TSX:CJT)
