Norse Atlantic ASA (NORSE) Q2 2026 earnings summary

Executive summary

• Achieved record unit revenues through network high-grading, but profitability was impacted by high fuel prices, lower aircraft utilization, and challenging market conditions.

• Strategic review advanced, attracting strong international interest for potential sale, merger, or partnership, with multiple parties engaged and a target to conclude by year-end 2026.

• Liquidity was strengthened via a rights issue raising up to $100 million and a $52 million senior secured financing agreement maturing in May 2027.

• Project Falcon cost reduction program underway, targeting $50 million in annual savings from 2027 and reducing administrative workforce.

Financial highlights

• Q2 2026 revenue was $132 million, down from $202.6 million year-over-year, with EBITDAR at negative $8.4 million and EBIT at negative $27.3 million.

• Passenger revenue fell 56% to $82.4 million, while Charter/ACMI revenue rose to $45 million from $6.1 million.

• Fuel costs increased by $21 million year-over-year, with average fuel price 1.9x higher than last year.

• Net loss for Q2 was $70.6 million, compared to $5.9 million loss in Q2 2025.

• Free cash and cash equivalents at period end were $67.1 million, up from $17.6 million at end of 2025.

Outlook and guidance

• Bookings for upcoming quarters show double-digit fare growth and strong load factors, with fares for Q3 and Q4 2026 more than 15% higher year-over-year.

• Discontinuation of ACMI agreement with IndiGo from November 2026 will return five aircraft for redeployment.

• Enhanced winter program and additional capacity planned for Europe–Thailand and Europe–New York/Orlando routes.

• Full impact of Project Falcon cost reductions expected in 2027.

• Capacity allocation will remain flexible, with more clarity expected in coming months.