Transat A.T (TRZ.TO) on Friday flagged a year-on-year cost increase of C$105 million in its fiscal third quarter due to higher jet fuel prices driven by the prolonged closure of the Strait of Hormuz.
The total estimated impact of higher fuel prices on Transat since the US-Iran began reached C$175 million at the end of the third quarter, the airline said.
Transat said it is in talks with the federal government to explore potential solutions, adding that its ability to pass the higher fuel costs on to customers remained limited.
The company's shares closed up C$0.02 to C$2.37 Thursday on the Toronto Stock Exchange.