NAV CANADA announces year-end financial results
OTTAWA, ON, Oct. 23, 2025 /CNW/ - NAV CANADA today released its financial results for the year ended August 31, 2025.
In fiscal 2025, NAV CANADA delivered robust financial performance while continuing to invest in the future of Canada's air navigation system. In an uncertain aviation landscape, the Company remained focused on what it can control: keeping Canada's skies safe, modernizing critical systems, and investing in its people.
That focus drove tangible progress. Priority investment in staffing and training efforts supported a reduction in service delivery risk and progress on long-term transformation plans. This included confirmation of the planned implementation of iTEC SkyNex — a Canadian first — that will strengthen the backbone of air traffic management, as well as breaking ground on Canada's first Digital Aerodrome Air Traffic Services facility in Kingston.
"These results reflect the strength of our people and the resilience of our business," said Mark Cooper, President and CEO. "We are managing risks with discipline while investing in the talent and technologies that will support service delivery and shape the future of Canada's air navigation system. From being named one of Canada's best employers by Forbes to deploying world-class systems, we are building lasting value for Canadians who rely on safe, efficient skies every day."
In fiscal 2025, the Company saw an increase in air traffic levels, as measured in weighted charging units(1), of 3.3% on a year-over-year basis as demand for air travel remained strong. The Company's revenue was $1,856 million in fiscal 2025, which is $56 million higher than in fiscal 2024, due to the increase in customer service charge rates effective January 1, 2025 and higher weighted charging unit volumes.
The Company ended the year with strong liquidity reserves, including a cash balance of $742 million. Positive free cash flow(2) of $105 million was generated in fiscal 2025 as compared to $162 million in fiscal 2024, reflecting our increased investment in staffing, training capacity and our infrastructure.
The rate stabilization account shortfall balance reduced by $115 million in fiscal 2025. As of August 31, 2025, the shortfall balance had declined to $60 million and is expected to be recovered from customers through future service charges.
Associated Links
The Company's Financial Statements, Management's Discussion and Analysis and Annual Information Form for the year ended August 31, 2025 can be found at:
Financial Statements
Management's Discussion and Analysis
Annual Information Form
About NAV CANADA
NAV CANADA is a private, not-for-profit company, established in 1996, providing air traffic control, airport advisory services, weather briefings and aeronautical information services for more than 18 million square kilometres of Canadian domestic and international airspace.
The Company is internationally recognized for its safety record, and technology innovation.
(1) Weighted charging units represent a traffic measure that reflects the number of billable flights, aircraft size and distance flown in Canadian airspace and is the basis for movement-based service charges, which comprise the vast majority of the Company's revenue.
(2) Free cash flow is a non-GAAP financial measure used by the Company to enhance the overall understanding of its financial and operating performance. Non-GAAP financial measures do not have any standardized meaning prescribed by IFRS and therefore may not be comparable to similar measures presented by other issuers. The Company defines free cash flow as cash generated from operations, less capital expenditures (net of government grants received), investments in Aireon LLC and principal payment of lease liabilities. Management places importance on this indicator as it assists in measuring the impact of its investment program on the Company's financial resources and provides users with a more stable indication of the Company's ability to meet its debt obligations and continue to invest in the air navigation system.
This press release contains certain forward-looking statements that are subject to important risks and uncertainties. Actual results may differ materially from the results indicated in these statements for a number of reasons. NAV CANADA disclaims any intention to update any forward-looking statements.
SOURCE NAV CANADA