Mesa Air Group (NASDAQ:RJET) Announces Earnings Results

Key Points

• Mesa Air Group raised its full-year 2026 guidance, projecting adjusted EBITDAR of $410 million–$420 million and adjusted earnings above $3.30 per diluted share.
• Republic secured a six-year American Airlines agreement for five additional E170 aircraft, while Mesa’s integration and maintenance improvements continued and net leverage declined to 2.2 times.
• Third-quarter operational performance weakened, with the completion factor falling to 94.6% amid severe weather and air-traffic-control disruptions; supply-chain pressures and integration costs are expected to continue into early 2028. Shares rose 7.3%, despite the stock retaining a consensus “Sell” rating.

Mesa Air Group (NASDAQ:RJET - Get Free Report) announced its quarterly earnings data on Thursday. The company reported $0.85 earnings per share for the quarter, Zacks reports. Mesa Air Group had a return on equity of 7.07% and a net margin of 2.96%. The firm had revenue of $553.50 million during the quarter.

Here are the key takeaways from Mesa Air Group's conference call:

• Full-year 2026 guidance was raised to adjusted EBITDAR of $410 million-$420 million, up from $395 million-$405 million, with adjusted earnings expected to exceed $3.30 per diluted share.
• Republic reached a six-year agreement with American Airlines to place five additional E170 aircraft into service beginning in December, while partner demand remains strong and 26 Embraer delivery positions provide future growth flexibility.
• The Mesa integration continued to advance, including consolidation of operations and maintenance functions, FAA acceptance of the second revision cycle, and approximately 40% improvement in heavy-check turnaround times year over year.
• The company strengthened its balance sheet, ending the quarter with $290 million of unrestricted cash, $863 million of net debt, and net leverage of 2.2 times versus 2.8 times a year earlier.
• Third-quarter completion factor fell to 94.6% from 98.2% in the prior quarter due largely to severe Northeast weather and air traffic control disruptions, while supply-chain constraints and ongoing Mesa integration costs are expected to persist into early 2028.

Mesa Air Group Trading Up 7.3%

Shares of RJET traded up $1.35 during trading hours on Thursday, reaching $19.83. 91,987 shares of the company traded hands, compared to its average volume of 120,734. The company's fifty day moving average price is $17.68 and its two-hundred day moving average price is $18.81. The company has a market capitalization of $928.44 million, a price-to-earnings ratio of 22.79 and a beta of 1.61. The company has a quick ratio of 0.84, a current ratio of 1.03 and a debt-to-equity ratio of 0.63. Mesa Air Group has a 12 month low of $15.36 and a 12 month high of $26.70.

Analyst Ratings Changes

Separately, Weiss Ratings lowered shares of Mesa Air Group from a "hold (c)" rating to a "sell (d+)" rating in a report on Thursday, October 8th. One research analyst has rated the stock with a Sell rating. According to MarketBeat.com, the stock currently has a consensus rating of "Sell".

Mesa Air Group Company Profile

Mesa Air Group, Inc is a regional airline holding company whose principal operating subsidiary is Mesa Airlines, Inc Mesa Airlines provides scheduled passenger air service for major airline partners under capacity-purchase and code-sharing agreements. Its operations have primarily been conducted under the United Express brand, with the company also having operated flights for partners including American Airlines, US Airways and Delta Air Lines at various points in its history.

Based in Phoenix, Arizona, Mesa Airlines serves destinations across the United States and has historically operated regional jet aircraft, including Bombardier CRJ and Embraer E-Jet models.

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