AIR CANADA (AC.TO) - Not Halal (Non-Compliant)
AIR CANADA (AC.TO) is classified as Not Halal (Non-Compliant) according to AAOIFI Shariah screening standards. This assessment is based on business activity screening and financial ratio analysis using the AAOIFI methodology.
Business Activity Screen
- Sector
- Industrials
- Industry
- Airlines
- Result
- Pass
- Reason
- The sector "Industrials" and industry "Airlines" are not in the excluded categories.
Financial Ratios
- Debt Ratio
- Value: 262.4% | Threshold: 30% | Result: Fail
- Cash & Interest-bearing Securities Ratio
- Value: 143.8% | Threshold: 30% | Result: Fail
- Non-Permissible Income Ratio
- Value: 1.0% | Threshold: 5% | Result: Pass
Dividend Purification
Purification percentage: 0.98%.Based on the company's financial statements, approximately 0.98% of dividend income should be donated to charity for purification. This is derived from identified interest income (0.98% of total income). Some scholars may differ on the exact calculation method.
About AIR CANADA
Air Canada provides domestic, U.S. transborder, and international airline services. It provides scheduled passenger services under the Air Canada Vacations and Air Canada Rouge brand names in the Canadian market, the Canada-U.S. transborder market, and in the international market to and from Canada, as well as through capacity purchase agreements on other regional carriers. As of December 31, 2025, the company operated a fleet of 223 aircraft under the Air Canada brand name comprising 132 Airbus narrow-body aircraft, and 91 Airbus wide-body aircraft; 33 aircraft under the Air Canada Rouge brand name consisting of 13 Airbus A321 aircraft, 5 Airbus A320 aircraft, and 15 Airbus A319 aircraft; 105 aircraft under the Air Canada Express brand name, including 25 Embraer 175, 35 Mitsubishi CRJ-900, and 45 De Havilland Dash 8-400aircraft; and 15 Mitsubishi CRJ-200 aircraft. It provides air cargo services for routes between Canada, the United States, Europe, Asia, South America, and Australia. In addition, the company develops, operates, markets, and distributes vacation travel packages in the Caribbean, Mexico, the United States, Europe, Central and South America, Asia, Oceania, and the Middle East; offers cruise packages in North America, Europe, the Caribbean, Japan, and Dubai; and provides travel loyalty programs. It also operates Air Canada Café. Air Canada was founded in 1937 and is headquartered in Saint-Laurent, Canada.