Chorus Aviation Inc.

Good morning, ladies and gentlemen, and welcome to the third quarter of Financial Results Conference Call. At this time, all lines are in listen-only mode. Following the presentation, we will conduct a question-and-answer session. If at any time during this call you require immediate assistance, please press star zero for the appropriate time. This call is being recorded on Thursday, November 7, 2024. I would now like to turn the conference over to Mr. Tyron Cody. Please go ahead.

Thank you, Elle. Hello, and thank you for joining us today for our third quarter conference call and audio webcast. With me today from Chorus are Colin Kopp, President and Chief Executive Officer, and Gary Osborne, Chief Financial Officer. We will begin today's call with a brief summary of the results, followed by questions from the analyst community. As there may be some forward-looking discussion during the call, I ask that you refer to the caution regarding forward-looking statements and information found in our MD&A. This pertains specifically to the results and operations of Corus Aviation Inc. for the three months ended September 30, 2024, as well as the outlook section and other sections of the MD&A where such statements appear. As a result of the agreement to sell Corus Regional Aviation Leasing RAL segment, the RAL segment has been reclassified to discontinued operations. And our regional aviation services segment, together with corporate, is now referred to as continuing operations. Assuming the closing of the rail sale, of course, we'll have one reportable operating segment and will no longer disclose its results on a segmented basis. Finally, some of the following discussion involves non-GAAP financial measures, including references to adjusted net income, adjusted EBT, adjusted EBITDA, leverage ratio, and free cash flow. This quarter, we have also provided certain of these measures on a pro forma basis to illustrate the financial impact of the disposition of the RAL segment. Please refer to our MD&A for further information relating to the use of such non-GAAP measures in pro forma figures. I'll now turn the call over to Colin Topol.

Thank you, Tyrone, and good morning, everyone. Our third quarter results are reflective of CORUS's strengthening balance sheet and financial metrics. As well, they highlight the reliable earnings power of the aviation services business. Over the third quarter, we continue to execute on the plan, making significant progress towards the previously announced sale of our leasing segment. Last month, we were pleased to announce the fulfillment of all regulatory conditions for the completion of the transaction. Transaction remains on track, and we expect it to close by the end of 2024. As a leasing transaction comes to a close, we're turning our focus to our share price, shareholder returns, and to strengthening our existing businesses. Just yesterday, we announced a renewal of our normal course issuer bid and CIB for our shares. This reflects the fact that course's shares remain undervalued, offering a strong return for shareholders and a good use of available funds. on the financial side let me touch on a couple of key points before I pass it over to Gary to provide you the details at the end of the third quarter we continue to improve our leverage ratio to 3.0 which has come down from 3.3 at the beginning of the year and we will see our leverage ratio continue to improve following the close of the transaction positioning as well for the future with low debt levels and debt servicing costs additionally We continue to execute well on the free cash flow side, generating over $32 million this quarter. Our adjusted EBITDA came in at almost $54 million for the quarter and $159 million year-to-date. Randolph and the Jazz team continues to execute very well, delivering consistent, strong contracted earnings from the CPA with Air Canada and notable year-over-year improvements in almost all Q3 operational performance metrics. The strong performance is attributable to a combination of factors, which include the team's deep industry expertise and knowledge, capability and resource planning, and a strong focus on hub and network-related performance. Our relationship with our key customer, Air Canada, has never been stronger, and I'm pleased to report that this quarter we've extended six of our Q400 CPA aircraft leases with Air Canada out to 2026, which were set to expire next year. On the pilot recruitment side, things are progressing very nicely, with JAWS welcoming its first class of new hire pilots from our Airline Pilot Training Academy, Cignet Aviation, in October. Adding capacity using Cignet pilot training capabilities is yet another key milestone for us, Having the capabilities to train airline-ready pilots from the ground up with the latest technologies, training simulators and aircraft ensures a solid flow of airline-ready first officers going forward. Finally, Jazz has recently been recognized as an Award of Excellence winner, its eighth consecutive year accepting an award as part of Canada's Safest Employers. Corey and the team at Voyager continue to execute very well with revenues increasing quarter over quarter, generating record part sales during the quarter and demonstrating their success in pursuing and realizing emerging opportunities. Voyager continued the expansion of their air ambulance operations at Grand Monand Island over the quarter as part of the Ambulance New Brunswick's Provincial Air Ambulance Program. They continue to build out their special mission support contract with the Department of National Defense and Manned Airborne Intelligence Surveillance and Reconnaissance Project, MASER, and have now completed staffing and recruitment for the support of the fleet in Trenton. Lynn and the team at Cygnet are growing the business well with the launch of their six cohort of future airline pilots who started in August. They've also recently started an inaugural free agent program where graduating students will be referred to key partner airlines, providing them a broad set of options. They're also working on an academy partnership with other Canadian airlines to continue to grow enrollment. In conclusion, as course continues to execute on our plan and we move towards closing the sale transaction, We're focused on a return of capital program for shareholders, strengthening our businesses, and prudently managing down our corporate costs. I'm very confident in the strong future for Chorus, one that will allow us to continue to build on our history as an industry leader. I'd like to close by thanking our employees across all our businesses for their dedication, focus, and commitment to hard work. and to thank our shareholders and board of directors for their support. I'll now pass it over to Gary to take you through the numbers.