Chorus Aviation Reports Mixed Q2 2026 Results Amid Aircraft Sales and KADEX Integration — Chorus Aviation Inc.

Event summary

Chorus Aviation reported Q2 2026 net income of $13.8 million, down from $32.4 million in Q2 2025, but adjusted EBITDA held steady at $50.7 million.
The company returned $17.3 million to shareholders through share repurchases and dividends, and monetized four aircraft for a gain of $2.5 million.
KADEX contributed $16.4 million in revenue and $1.2 million in net income during the quarter, performing ahead of expectations.
Chorus reaffirmed its full-year guidance, projecting Adjusted EBITDA between $170 million and $185 million for 2026.

The big picture

Chorus Aviation's Q2 2026 results highlight its ongoing efforts to diversify earnings through acquisitions like KADEX and strategic aircraft sales. The company's ability to maintain a leverage ratio of 1.5x and generate free cash flow underscores its financial flexibility, but it must navigate fluctuating leasing revenues under the CPA with Air Canada. The integration of KADEX and the completion of planned aircraft sales will be critical in sustaining its growth trajectory.

What we're watching

Execution Risk: Whether Chorus can sustain its adjusted EBITDA and free cash flow growth amid fluctuating aircraft leasing revenues under the CPA.
Integration Challenges: How effectively KADEX will be integrated into Chorus's operations to enhance supply chain capabilities and recurring revenue streams.
Market Dynamics: The pace at which Chorus can complete the sale of its remaining two Dash 8-400 aircraft by December 2026, impacting its liquidity and leverage ratio.