The company had to suspend its flights due to a lack of jet fuel, as many others did, although U.S. airlines have maintained their routes

14ymedio, Madrid, September 11, 2026 – The indefinite suspension of flights to Cuba is costing Canadian airline Air Transat millions. The cancellation of its operations on the Island, adopted in February amid an alert over a lack of jet fuel at Cuban airports, has resulted in a cumulative drop in revenue of 116 million Canadian dollars (about 85 million U.S. dollars) for the first half of 2026 and the final quarter of 2025, when the company still had flights (the fiscal year runs from November 1 to October 31).
The company released data this Thursday for the third quarter, covering May through July, indicating that the absence of the Cuban market reduced the company’s revenue by 25.6 million U.S. dollars in a destination that historically represented 9% of its capacity.
This worsens an extremely poor set of results attributed fundamentally to rising oil prices, which increased 56% year over year between May and July. This generated an additional cost of 128 million U.S. dollars. Although Air Transat managed to increase its total revenue by 3% quarterly to 581 million U.S. dollars thanks to an increase in passengers, the uncontrolled rise in operating costs prevented it from absorbing the impact, which is strongly reflected in the final balance sheet.
“Our third-quarter results were significantly affected by persistently high fuel prices, which remained elevated far above what was anticipated”
The company reported a net loss of 78 million U.S. dollars this quarter, deepening the negative balance from the previous quarter, when it recorded approximately 56 million U.S. dollars. The figure contrasts with the previous year’s figure, when the company posted a net profit of 399.8 million Canadian dollars – including an extra 345.1 million from the cancellation of a long-term debt. This represents a loss of $2.60 per share, compared with the $9.97 profit continue reading
“Our third-quarter results were significantly affected by persistently high fuel prices, which remained elevated far above what was anticipated and were the main factor behind the lower profitability,” said its chief executive officer, Annick Guérard.
The executive said Thursday that the company chose not to pass the costs on to passengers by raising ticket prices because of aggressive competition from other domestic companies. Guérard admitted that an attempt was made, but demand fell drastically as soon as they tried to apply fuel surcharges, while other companies flooded the market with discounts. “We had never seen such a highly competitive network. There was one promotion after another throughout the summer,” she added. Air Canada, however, was able to raise prices.
Air Transat has once again had to turn to the Canadian Government as a lifeline to guarantee its operational continuity and maintain liquidity, which had fallen to 243 million Canadian dollars at the end of July. After completely exhausting the 150 million Canadian dollar credit from the federal air-sector resilience program, the airline secured an additional 250 million emergency loan through the state-owned Canada Enterprise Emergency Funding Corporation, to give it room to maneuver until energy prices stabilize.
The executive avoided discussing a possible resumption of flights to Cuba. “We remain focused on restoring Air Transat’s profitability,” she said, adding that the airline will continue taking measures to reduce costs and improve productivity; a loyalty program will be launched by the end of the year, and cabin interiors will be modernized to expand its premium offering in the second half of 2027.
The executive avoided discussing a possible resumption of flights to Cuba. “We remain focused on restoring Air Transat’s profitability”
Air Transat was one of the first airlines to announce the suspension of flights to Cuba after the lack of fuel at the Island’s international airports became known. The company – like other Canadian and Russian airlines, which opted for this course almost immediately – had to evacuate thousands of tourists during the month of February as their stays on the Island came to an end, according to the article.
On June 5, the company announced the “indefinite suspension” of flights due to “the current geopolitical situation in Cuba.”
This decision, which was also taken by Air Canada and WestJet Airlines, has devastated the statistics for Canadian tourists in Cuba, previously the main market by far. Through July, barely 127,645 Canadians had traveled to the Island, 70% compared with 2025 levels. In addition, the vast majority arrived in January, with nearly 100,000, while 24,559 arrived in February. Since then, visitors from that country have arrived only in dribs and drabs, as there is not a single direct flight to the Island.
Translated by Regina Anavy
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