Air T (AIRT) investor relations material

Executive summary

• Revenue rose 63% year-over-year to $115.5 million in 1Q27, driven by the addition of the Regional Airline segment (Rex) and growth in Digital Solutions, offset by declines in Ground Support Equipment and Commercial Aircraft Parts.

• Adjusted EBITDA for 1Q27 was $0.8 million, down from $1.5 million in the prior year, reflecting integration costs and segment performance variability.

• Operating loss was $12.8 million, reversing from $0.8 million operating income in the prior year, mainly due to higher fuel costs, lower aircraft availability, and acquisition-related expenses.

• Net loss attributable to stockholders was $15.8 million, or $(5.86) per share, compared to a net loss of $1.6 million, or $(0.61) per share, in the prior year.

• LTM revenue reached $371.7 million, a 25% increase year-over-year, with LTM Adjusted EBITDA at $9.5 million, up 19%.

Financial highlights

• 1Q27 revenue: $115.5 million (up 63% YOY); Adjusted EBITDA: $0.8 million (down 45% YOY).

• Net loss: $15.8 million, compared to $1.6 million loss year-over-year.

• Regional Airline segment contributed $55.9 million revenue and $1.9 million Adjusted EBITDA in its first full quarter.

• Overnight Air Cargo revenue stable at $31.2 million; Adjusted EBITDA improved to $2.1 million.

• Commercial Aircraft Engines and Parts revenue declined 7% YOY to $20.8 million; Adjusted EBITDA fell to $(0.5) million.

Outlook and guidance

• Focus on integrating recent acquisitions, especially Rex and Arena, and optimizing segment performance.

• Management expects continued volatility in regional airline and ground support equipment segments due to fuel prices, aircraft availability, and timing of large orders.

• Sufficient liquidity is expected for at least 12 months, with $42.4 million in available credit lines.

• Management expects to leverage scale and operational synergies for future growth.