BC Ferries sets fiscal records: $12M net earnings for the first quarter of fiscal 2020

Ships sailed 700 more round trips compared to 2018

  • Aug. 15, 2019 4:45 p.m.

Rick Stiebel/News Staff

BC Ferries sailed into uncharted waters by hitting a historic high watermark for the first fiscal quarter this year.

According to an Aug. 15 BC Ferries news release, passenger and vehicle traffic numbers are the highest the company has ever experienced in the first quarter of a fiscal year.

Net earnings for the first quarter of fiscal 2020 were $12.2 million, more than double the $6 million total for the same quarter of the previous year.

“Net earnings are essential for us to fulfill our commitment to support the growing needs of coastal communities,” BC Ferries president and CEO Mark Collins said in the release. “With the public interest in mind, we reinvest all earnings back into the ferry system. This is evidenced by our $26 million of investments this quarter which is more than our $12.2 of net earnings.”

That enables expanded service, larger ships, upgraded terminals, debt reduction and financial sustainability, Collins added.

READ ALSO: BC Ferries not as full as reported due to ability to book consecutive sailings

BC Ferries provided more than 700 additional round trips compared to the same period last year to accommodate higher traffic volumes and deliver the increased service levels agreed to with the province. The company also introduced the Northern Sea Wolf into service and brought the upgraded Spirit of Vancouver Island back into service, which contributed to a 7.3 per cent increase in revenue and a corresponding 5 per cent increase in expenses, compared to the first quarter of the previous fiscal year.

The company invested $26 million focused on replacing ships and upgrading terminals as part of a $3.9 billion 12-year capital plan. “Our capital plan is vital to maintain an efficient ferry service that meets the increasing demands on the system,” Collins said. Half the fleet must be replaced during the next 15 years to incorporate clean technology and increase capacity, he noted.

At the start of fiscal 2019, which began April 1, 2018, BC Ferries reduced fares, with partial funding from the province, on the minor and northern routes by 15 per cent as part of its continued focus on fare affordability. Fares on the three Metro Vancouver-Vancouver Island routes remained constant, and no fare increases will be introduced in fiscal 2020.

READ ALSO: BC Ferries service contract included added funds for fare affordability, added routes

“Focusing on cost improvements in fuel, maintenance, labour and increasing diversified revenues are ways we reduce upward pressure on fares,” Collins said.

Between April 1 and June 30 of this year, BC Ferries delivered more than 45,000 sailings for an average of 497 a day. There was an increase of 3,268 more round trips than required under the Coastal Ferry Services Contract. BC Ferries carried 5.8 million passengers, an increase of 2.2 per cent from the same quarter in the previous year. The total of 2.4 million vehicles marks an increase of 2. 5 per cent for the same period.

For a look at the full report, financial statements and Management’s Discussion Analysis, sail over to sedar.com.

rick.stiebel@goldstreamgazette.com

 

Just Posted

Courtenay widow turns to Town of Comox for commemorative item to honour late husband

After being turned down by City of Courtenay, Laurance Stratton found Comox more receptive

Boomer Jerritt next North Island College Artist Talk speaker

Acclaimed Comox Valley photographer, artist and world traveller Boomer Jerritt is coming… Continue reading

App designed to help cut waste and grocery bills

Food security advocates say addressing poverty is ultimate key

VIDEO: Saanich resident shocked when trespasser licks security camera, rummages through mail

‘I found the situation really bizarre,’ said the Gordon Head resident

School district launches catchment consultation process in the Comox Valley

Comox Valley Schools is commencing an important boundary catchment consultation process beginning… Continue reading

Report suggests new BC Ferries terminal near YVR

Metro Vancouver currently has two ferry terminals at northern and southern reaches

B.C. scouting group’s tent destroyed by black bear on Thanksgiving

The Richmond-based Sea Dragon Sea Scouts were camping at Mount Seymour Provincial Park

Environment Canada issues gale warnings for western Vancouver Island

Gale warnings in effect for most of Vancouver Island and west coast Mainland

BC Ferries crew member taken to hospital after getting struck by bow doors

Two sailings between Horseshoe Bay and Departure Bay were cancelled

Greta Thunberg meets with First Nations chief in Fort McMurray

Thunberg has turned her protest against climate change into a global movement

Canucks hang on for 3-2 win over Rangers in New York

Vancouver scores three times in first period

Most Read