Air T Inc
AIRT
$22.71 -0.41%
Exchange: NASDAQ | Sector: Industrials | Industry: Integrated Freight Logistics
Q3 2025
Published: Feb 12, 2025

Earnings Highlights

  • Revenue of $77.88M up 22.2% year-over-year
  • EPS of $-0.47 increased by 55.7% from previous year
  • Gross margin of 21.8%
  • Net income of -1.30M
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Air T Inc (AIRT) QQ3 2025 Results Analysis β€” Revenue Rally and Margin Leverage Amid Levered Balance Sheet in Industrial Freight & Logistics

Executive Summary

Air T Inc posted QQ3 2025 revenue of $77.88 million, up 22.15% year over year and up 354.67% quarter over quarter to reflect a markedly stronger top line versus the prior quarter. The gross profit of $16.99 million yielded a gross margin of 21.8%, with operating income of $1.82 million (2.33% operating margin) and EBITDA of $2.99 million (EBITDA margin β‰ˆ 3.84%). Net income was negative $1.30 million, or a loss per share of $0.47, driven by non-operating items and leverage dynamics rather than a collapse in core operations. A notable cash-flow dynamic supported by the quarter is a robust working capital release: change in working capital of $15.95 million, including increases in accounts receivable of $6.05 million and inventory build of $12.46 million, partially offset by accounts payable movements of $(5.30) million and other working capital items. Despite a net loss on reported accounting basis, operating cash flow remained strong at $16.33 million and free cash flow was $15.98 million, underpinning liquidity in a leverage-heavy capital structure. Balance-sheet and leverage remain the principal risk factors: total debt stood at $142.0 million with long-term debt at $121.3 million and short-term debt at $23.0 million. Cash and cash equivalents totaled $18.46 million. The company reported a current ratio of 1.90 and a quick ratio of 1.09, implying adequate near-term liquidity but a strained overall balance sheet given a total liabilities of $173.62 million versus $5.11 million in equity. The quarter’s profitability metrics show improving margins versus prior year, but the company remains challenged by net income and interest coverage, underscoring the need for ongoing deleveraging and potential efficiency initiatives.

Key Performance Indicators

Revenue

77.88M
QoQ: 354.67% | YoY:22.15%

Gross Profit

16.99M
21.82% margin
QoQ: 178.69% | YoY:38.50%

Operating Income

1.82M
QoQ: -53.42% | YoY:212.94%

Net Income

-1.30M
QoQ: -151.47% | YoY:56.46%

EPS

-0.47
QoQ: -151.65% | YoY:55.66%

Revenue Trend

Margin Analysis

Key Insights

Revenue: $77.88M, YoY +22.15%, QoQ +354.67% Gross Profit: $16.99M, Gross Margin 21.82% Operating Income: $1.82M, Operating Margin 2.33% EBITDA: $2.99M, EBITDA Margin ~3.84% Net Income: -$1.30M, Net Margin -1.67% EPS: -$0.47 per share, Diluted -$0.47 Cash Flow: Operating cash flow $16.33M; Free cash flow $15.98M; Capex $0.35M; FCF/OCF ~98% Balance Sheet: Total assets $187.6M; Total liabilities $173.6M; Total equity $5.11M; Net debt $123.54M Liquidity: Current ratio 1.90; Quick ratio 1.09; Cash ra...

Historical Earnings Comparison

PeriodRevenue ($M)EPS ($)YoY GrowthReport
Q1 2026 70.87 -0.61 +6.7% View
Q4 2025 66.32 -2.60 -8.8% View
Q3 2025 77.88 -0.47 +22.2% View
Q2 2025 17.13 0.91 -78.3% View
Q1 2025 66.41 -0.12 -7.0% View