Executive Summary
Air T Inc delivered a challenging Q4 2025, with revenue of $66.315 million and a consolidated net loss of $7.028 million, translating to an EPS of -$2.60. The quarter highlighted continued margin pressure and a meaningful year-over-year and quarter-over-quarter revenue and earnings decline, driven by elevated cost of revenue and operating expenses alongside tight industry conditions in the aerospace support and equipment segments. EBITDA and operating income remained negative, underscoring ongoing profitability headwinds despite modest operating cash generation in the quarter. The company reported operating cash flow of $4.119 million and free cash flow of $3.97 million for the quarter, supporting a marginal liquidity runway but leaving leverage and balance sheet risk as key concerns.
Management commentary on future performance is not included in the provided transcript data. Nevertheless, the results imply an industry-cycle sensitive business with exposure to aerospace capex cycles, ground equipment demand, and air cargo activity. Investors should assess Air Tβs leverage, asset-light versus asset-heavy mix, and the potential to stabilize revenue with continued cost discipline and balance sheet repair. The following analysis places Air Tβs Q4 2025 results in the context of historical performance and peer benchmarks to inform a cautious yet watchful investment stance.
Key Performance Indicators
Revenue
66.32M
QoQ: -14.85% | YoY:-8.76%
Gross Profit
9.71M
14.65% margin
QoQ: -42.83% | YoY:-41.75%
Operating Income
-3.23M
QoQ: -277.81% | YoY:-322.23%
Net Income
-7.03M
QoQ: -441.87% | YoY:-313.41%
EPS
-2.60
QoQ: -453.19% | YoY:-326.23%
Revenue Trend
Margin Analysis
Key Insights
- Revenue: $66.315 million in Q4 2025; YoY: -8.76%; QoQ: -14.85%
- Gross Profit: $9.713 million; Gross Margin: 14.65%; YoY Gross Profit decline: -41.75%; QoQ decline: -42.83%
- Operating Income: -$3.229 million; Operating Margin: -4.87% (YoY: -322.23%; QoQ: -277.81%)
- EBITDA: -$4.239 million; EBITDA Margin: -6.39%
- Net Income: -$7.028 million; Net Margin: -10.58%; EPS: -$2.60; Diluted EPS: -$2.60