For the year ended March 31, 2025

Management’s Discussion and Analysis (MD&A) outlines CATSA’s financial results and operational changes for the year ended March 31, 2025. This MD&A should be read in conjunction with CATSA’s audited annual financial statements and accompanying notes for the year ended March 31, 2025, which have been prepared in accordance with International Financial Reporting Standards (IFRS). The information in this report is expressed in thousands of Canadian dollars and is current to June 18, 2025, unless otherwise stated.

The Government of Canada encourages Crown Corporations to voluntarily disclose certain expenditure information in a manner similar to federal departments and agencies, aligned with the Public Accounts of Canada (PA) Vol. III. Below are CATSA’s relevant¹⁰ expenditures, by category, for 2024/25.

In Budget 2021, the federal government announced that all Crown corporations would be required to demonstrate climate leadership by adopting the Taskforce on Climate-Related Financial Disclosures (TCFD) framework, which includes 11 recommended disclosures across four pillars: governance; strategy; risk management; and metrics and targets. These disclosures include an assessment of climate-related risks and opportunities as well as greenhouse gas (GHG) emissions.

Board of Directors

CATSA is governed by an 11-member Board of Directors, appointed by the Governor in Council on the recommendation of the Minister of Transport and Internal Trade. The airline industry and the airport industry nominate two directors each. The Board of Directors and its committees meet on a quarterly basis to oversee the corporation’s business and strategic direction, and their responsibilities include:

Results for the Implementation of CATSA’s mandate

The following key performance indicators (KPIs) are reported to the Senior Management Committee and the Board of Directors on a quarterly basis for oversight and management of CATSA’s performance. The KPIs are categorized according to the Strategic Plan’s four pillars.

Risk management is embedded into strategic decision-making and resource allocation within CATSA, thereby allowing the organization to make informed decisions at the corporate and operational levels.

CATSA manages its corporate risks through an Enterprise Risk Management (ERM) framework, and maintains a comprehensive overview of its risk profile, including descriptions of key operational and financial risks, risk ratings as measured by likelihood and impact of risk occurrence, and risk mitigation strategies.

CATSA’s overall risk attitude is conservative and flexible.

Culture of Diversity, Equity, and Inclusion

CATSA is committed to screening all travellers in an effective, efficient, and respectful manner. In addition, there is a strong commitment to workplace policies and practices that ensure employees have reasonable accommodation of their values and traditions. For example, CATSA’s Diversity and Inclusion Network supports the identification of barriers to employment equity, in addition to providing diversity and inclusion initiatives and training.

This section provides an overview of the activities that occurred in 2024/25 in alignment with our core mandate and the four strategic pillars of CATSA’s Strategic Plan. These activities further contribute to the strengthening of Canada’s aviation system and reflect the organization’s primary focus to screen all passengers in an effective, efficient and respectful manner.

As the interim President and CEO, I have the honour of highlighting CATSA’s achievements over the past year. It is a period that can be defined by operational excellence, outstanding productivity, valuable industry support, and notable success across the country, resulting in advancements in aviation security and enhancements to the passenger experience.

On behalf of the Board of Directors, I am very proud to present CATSA’s 2024/25 Annual Report. This year again, CATSA protected the public by providing effective and efficient security screening to over 68 million passengers.