TORONTO — Some of the most active companies traded Tuesday on the Toronto Stock Exchange:
Toronto Stock Exchange (20,690.81, down 321.08 points.)
Enbridge Inc. (TSX:ENB). Energy. Down 10 cents, or 0.2 per cent, to $56.08 on 9.3 million shares.
Cenovus Energy Inc. (TSX:CVE). Energy. Up 15 cents, or 0.7 per cent, to $21.09 on nine million shares.
Bank of Montreal (TSX:BMO). Financials. Down $2.58, or 1.8 per cent, to $138.86 on 8.8 million shares.
Athabasca Oil Corp. (TSX:ATH). Energy. Down three cents, or 1.2 per cent, to $2.42 on 8.1 million shares.
Baytex Energy Corp. (TSX:BTE). Energy. Up 17 cents, or 2.7 per cent, to $6.47 on 8.1 million shares.
Air Canada (TSX:AC). Industrials. Down $1.76, or 7.3 per cent, to $22.46 on 7.2 million shares.
Companies in the news:
Air Canada — Air Canada more than tripled its revenues last quarter as demand for travel revved up, though a net loss of nearly $1 billion signalled the pandemic recovery is far from complete. After the Omicron variant of COVID-19 slowed bookings in January, the airline's sales spiked in March as travel restrictions eased, pushing bookings to 90 per cent of 2019 levels. The country's largest airline maintained full-year forecasts that available seat capacity will average out at roughly three-quarters of what it was in 2019. Air Canada's capacity continues to lag its U.S. counterparts and business travel remains at half the volume it hit three years ago, said chief commercial officer Lucie Guillemette. Meanwhile, rising fuel costs, inflation and uncertainty stemming from Russia's invasion of Ukraine are adding headwinds to a buffeted industry. Air Canada reported a first-quarter loss of $974 million or $2.72 per diluted share for its first quarter compared with a loss of $1.30 billion or $3.90 per diluted share a year earlier. Revenue totalled $2.57 billion for the three months ended March 31, compared with $729 million in the first three months of 2021.
Canadian National Railway Co. (TSX:CNR). Down $1.22 to $156.87. Canadian National Railway Co. is lowering its earnings forecast for the year after profits sagged in its first quarter. Citing tough operating conditions and "worldwide economic uncertainty," the Montreal-based company now predicts adjusted diluted earnings per share growth of between 15 and 20 per cent, versus its target of 20 per cent at the start of the year. CN is also aiming for an operating ratio — a measure of the railway's efficiency that divides operating expenses by net sales — of just under 60 per cent, compared to its more ambitious January goal of 57 per cent. The country's largest railroad operator says revenues for the quarter ended March 31 rose five per cent year over year to $3.71 billion compared to $3.54 billion a year earlier. Higher freight rates and coal and U.S. grain export volumes boosted revenue, but a smaller overall grain crop, fewer West Coast container shipments, global supply snarls and harsher winter weather all contributed to a net earnings drop of six per cent to $918 million last quarter.
Canopy Growth Corp. (TSX:WEED). Down 25 cents or 3.5 per cent to $6.82. Canopy Growth Corp. plans to lay off more than 200 workers as part of a new cost-reduction strategy that will make cannabis cultivation more affordable and uncover supply chain efficiencies. The Smiths Falls, Ont., company behind the Tweed, Tokyo Smoke and Doja brands says the 243 affected workers span Canada, Europe and the U.S. Canopy expects their departures and the rest of the cost-cutting plan to create between $100 and $150 million in savings within 12 to 18 months. The company expects lowering per-gram cultivation costs through facility improvements to generate between $30 and $50 million in savings and reduce expenses by $70 to $100 million over the next year and a half. The overhaul will result in between $250 and $300 million in charges in Canopy's fourth quarter and between $100 and $250 million in non-cash impairment charges, largely driven by goodwill and intangible asset impairments. Canopy's plan, which also includes implementing flexible manufacturing processes and reducing third-party professional fees and office costs, comes as many Canadian cannabis companies are working to reach profitability by better aligning supply with demand.
This report by The Canadian Press was first published April 26, 2022.
The Canadian Press