Mesa Air Group (MESA) Q3 2025 earnings summary

Executive summary

• Operated 60 E-175 aircraft under a capacity purchase agreement with United, serving 76 cities as of September 30, 2025, and reported total operating revenues of $90.7 million for the quarter with a net loss of $14.1 million, reflecting asset impairments and lower contract revenue due to reduced United Airlines fleet size.

• All contract revenue for the quarter derived from the United CPA, with prior DHL contract terminated in March 2024.

• Entered into a merger agreement with Republic Airways Holdings, expected to close November 25, 2025, with Republic shareholders to own 88% of the combined entity; stockholders approved all related proposals and a new Nasdaq symbol, RJET, will be used post-merger.

• Authorized a 15-for-1 reverse stock split effective November 24, 2025.

Financial highlights

• Q3 2025 operating revenue was $90.7M, down 21.3% year-over-year, primarily due to a reduction in contractual aircraft with United Airlines and asset dispositions.

• Q3 2025 net loss was $14.1M, improved from $24.9M net loss in Q3 2024; adjusted net loss was $2.1M.

• Adjusted EBITDA for Q3 2025 was $3.3M; Adjusted EBITDAR was $3.7M, both down significantly year-over-year.

• For the nine months ended September 30, 2025: operating revenue $278.2M (down 22.2%), net loss $51.9M (vs. $33.2M loss prior year), and adjusted EBITDA of $18M for Mesa and $227M for Republic.

• Net loss per diluted share was $(0.34) for the quarter, compared to $(0.60) in the prior year.

Outlook and guidance

• Merger with Republic expected to improve financial position, support long-term value creation, and alleviate going concern doubts.

• All regulatory, shareholder, and contractual conditions for the merger have been satisfied as of November 20, 2025.

• Management anticipates operational and financial stabilization post-merger, with enhanced utilization and block-hour production.

• Company expects to meet cash obligations for the next twelve months post-merger.