Air Canada Cargo reported a milestone in 2025, exceeding C$1 billion in annual revenue for the first time, reflecting the strength of its freighter network strategy and a 28% year-over-year increase in digital bookings. Total cargo revenues reached C$1,033 million, up 4% from C$991 million in 2024, underscoring the airline’s continued leadership in North American and international airfreight markets.
The year’s growth was primarily driven by higher volumes in Latin America and the Pacific, which were influenced by adjustments to shipping activity following tariff deadline changes and revisions to US duty-free exemption rules for low-value goods, Air Canada noted. Domestic operations also saw gains, benefiting from improved year-over-year yields, although these were partially offset by flight cancellations during August labour disruptions.
As of December 31, 2025, Air Canada Cargo operated six Boeing 767 freighters, unchanged from the previous year, maintaining a robust network that supports scheduled and chartered cargo operations across key international and domestic markets.
Geographic Revenue Breakdown
While Air Canada did not disclose specific figures by region in detail, company commentary highlighted:
- Latin America and Pacific markets as key drivers of growth for the full year
- Domestic market showing stronger yields and stable volume
- Atlantic and Transborder markets facing pressure from lower volumes and yield, particularly in the fourth quarter
Fourth-quarter revenues totaled C$291 million, down 1% year-over-year, primarily due to reduced volumes in the Pacific and Transborder regions, partially offset by higher domestic yields and increased volumes in Latin America.
Leadership Perspective
Jon Turner, Vice President of Cargo at Air Canada, emphasized the milestone and its strategic significance:
“Air Canada Cargo’s performance in 2025 clearly demonstrates the strength of our long-term strategy and the unwavering commitment of our teams. Surpassing $1 billion in annual revenue is a significant milestone, underscoring Air Canada Cargo’s position as a global leader in airfreight. Looking ahead, we will continue investing in innovation, operational excellence, and strategic partnerships to unlock even greater opportunities for our customers and for global trade.”
Operational Context
The airline acknowledged that labour strikes in August 2025 affected third-quarter cargo operations, resulting in flight cancellations and temporarily lower volumes. Despite these challenges, Air Canada Cargo successfully navigated the peak periods, maintaining service reliability and leveraging its freighter network to meet customer demand.
The 2025 results reflect Air Canada Cargo’s dual focus on network optimisation and digital transformation, reinforcing its ability to serve growing markets in Latin America, the Pacific, and across domestic and transborder operations, while setting the stage for further expansion and efficiency improvements in 2026.
