Revenue and traffic growing for BC Ferries, but still well short of pre-pandemic levels

BC Ferries vessels are seen at Tsawwassen ferry terminal. (Murray Titus)

Vancouver -

BC Ferries' revenue and traffic increased during the first quarter of the company's fiscal year, but both remained well below their pre-pandemic levels.

These are some of the takeaways from the provincial ferry operator's Quarter 1 results, which were released Thursday.

Over the course of the three months that ended on June 30 - which correspond to the first quarter of BC Ferries' 2022 fiscal year - vehicle and passenger traffic increased by 37 and 40 per cent, respectively, compared to the same period in the company's fiscal 2021 (April to June 2020).

"While these increases are significant, ongoing travel restrictions limited passenger and vehicle traffic growth, with the company experiencing declines in revenue, earnings and cash from operations, compared to a pre-COVID period," BC Ferries said in a news release.

For much of the three months in question, B.C. was dealing with the third wave of the pandemic and had imposed strict "circuit-breaker" restrictions, including a ban on non-essential travel between Vancouver Island and the mainland.

Partly as a result of these restrictions, BC Ferries saw 27 per cent fewer vehicles and 46 per cent fewer passengers during the first quarter of its 2022 fiscal year than it did in the same period of fiscal 2020, which was before the pandemic began.

The company's revenues were up $91.8 million during the quarter, compared to the previous year, but much of that increase was due to Safe Restart funding received from the provincial and federal governments.

Without the $60 million in Safe Restart funds it applied to its operating budget during the quarter, BC Ferries would have suffered a net loss of $55.3 million.

With the funds, the company registered net earnings of $4.7 million during the quarter.

During the first quarter of fiscal 2021 (April to June 2020), BC Ferries lost $62 million and had not yet received Safe Restart funds to offset those losses.

The company received a total of $308 million in Safe Restart funds in December 2020. In its news release, BC Ferries said it appreciates the assistance from the federal and provincial governments, which will help it "maintain service levels, and to keep fare increases to affordable levels through March 31, 2024."

“Traffic was stronger in this quarter than the same period last year, but still well below expectations given the impacts of the third wave of COVID-19," said Mark Collins, president and CEO of BC Ferries, in the release.

"Throughout the period, BC Ferries continued to provide lifeline service to coastal communities and we are pleased to see positive momentum with the return of summer leisure travel,” Collins added.