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Air T reports $5.86 per-share loss in Q1 FY2027 as Rex acquisition drives revenue to $115.5 million

Net loss per share of $5.86 for the quarter ended June 30, 2026, is the number Air T, Inc. (NASDAQ: AIRT) disclosed in a Friday 8-K. That compares to a net loss of $0.61 per share a year earlier, a nearly tenfold widening. Revenue of…

By Warren Ashby·Aug 16, 2026·2 min read·regulatory·AIRT

Key takeaways

  • Air T, Inc. (NASDAQ: AIRT) reported a net loss of $5.86 per share for the quarter ended June 30, 2026, compared with a net loss of $0.61 per share a year earlier.
  • Revenue rose 63% year over year to $115.5 million, an increase of $44.6 million, with $55.9 million coming from the newly acquired Regional Express Holdings (Rex).
  • Air T acquired Australian regional airline Rex on December 18, 2025, and this was Rex's first full quarter inside the company with no prior-year comparable period.
  • Consolidated operating loss was $12.8 million versus operating income of $0.8 million a year ago, and loss before income taxes reached $15.0 million versus $0.8 million.
  • Consolidated adjusted EBITDA fell to $0.8 million from $1.5 million in the prior-year period.

Net loss per share of $5.86 for the quarter ended June 30, 2026, is the number Air T, Inc. (NASDAQ: AIRT) disclosed in a Friday 8-K. That compares to a net loss of $0.61 per share a year earlier, a nearly tenfold widening. Revenue of $115.5 million, up $44.6 million or 63% year over year, carries a substantial asterisk: $55.9 million of the total came from Regional Express Holdings Pty Ltd (Rex), the Australian regional airline Air T acquired on December 18, 2025, with no prior-year comparable period.

Revenue in, margin compressed

Rex's first full quarter inside Air T produced $55.9 million across passenger fares, ancillary fees, freight, charter, and government subsidy income. The segment's adjusted EBITDA was $1.9 million on an operating loss of $7.7 million, with depreciation and amortization of $8.8 million accounting for most of that gap. Fuel expense reached $11.8 million. Rex carries no fuel hedge and no Australian dollar/U.S. dollar currency hedge, absorbing cost pressure through fare adjustments, capacity management, and fuel levy arrangements with certain state governments. Higher unscheduled engine removals, together with lower throughput from third-party maintenance, repair, and overhaul providers, also reduced available aircraft below planned levels.

Consolidated adjusted EBITDA (non-GAAP) was $0.8 million, down from $1.5 million in the prior-year period. Operating loss was $12.8 million versus operating income of $0.8 million a year ago. Loss before income taxes reached $15.0 million, compared to $0.8 million.

Segment reads

Overnight air cargo revenue held roughly flat at $31.2 million. Adjusted EBITDA for the segment rose $0.5 million to $2.1 million, driven by improved FedEx maintenance results at Mountain Air Cargo and higher parts and labor revenue at Worldwide Aircraft Services.

Commercial aircraft, engines, and parts revenue fell $1.6 million to $20.8 million. A $3.3 million decline in component sales at Contrail, tied to lower leasing revenue, was the primary driver. AirCo Companies and Worthington Aviation also saw softer revenue, partially offset by large service projects and offsite teardown work at Jet Yard Companies.

Ground support equipment fell from $15.1 million to $3.7 million, an $11.4 million drop. Air T said the swing owed to two items: the annual U.S. military order, which fell in the first quarter of fiscal 2026, is now anticipated in the third quarter of fiscal 2027; and a large one-time deicing truck order from the prior-year period did not recur. Backlog for the segment stood at $9.0 million at June 30, 2026, versus $7.2 million a year earlier.

Digital solutions contributed $2.6 million, up from $2.1 million.

Chairman and CEO Nick Swenson called quarter-over-quarter analysis in seasonal and transaction-based businesses like Global Ground Support and Contrail "sometimes unproductive," and noted that integrations of Arena into Crestone and Rex into Air T continue. The equity method investee balance was $27.9 million at June 30, 2026, versus $19.9 million at June 30, 2025.

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Source: sec.gov
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Frequently asked

Why did Air T's revenue increase so sharply?

Revenue grew 63% to $115.5 million largely because the newly acquired Rex airline contributed $55.9 million with no prior-year comparable period.

What drove the large net loss for the quarter?

The company swung to an operating loss of $12.8 million and a loss before income taxes of $15.0 million, with the Rex segment posting a $7.7 million operating loss driven largely by $8.8 million in depreciation and amortization.

Why did the ground support equipment segment revenue fall so much?

Ground support equipment revenue dropped $11.4 million to $3.7 million because the annual U.S. military order shifted to the third quarter of fiscal 2027 and a large one-time deicing truck order from the prior year did not recur.

How did the overnight air cargo segment perform?

Overnight air cargo revenue held roughly flat at $31.2 million while its adjusted EBITDA rose $0.5 million to $2.1 million on improved FedEx maintenance results and higher parts and labor revenue.

Does Rex use fuel or currency hedges?

No, Rex carries no fuel hedge and no Australian dollar/U.S. dollar currency hedge, absorbing cost pressure through fare adjustments, capacity management, and fuel levy arrangements with certain state governments.