Sky Harbour Group (NYSE:SKYH) Issues Quarterly Earnings Results

Sky Harbour Group (NYSE:SKYH) announced its quarterly earnings results on Tuesday. The company reported ($0.11) EPS for the quarter, missing the consensus estimate of ($0.10) by ($0.01), Zacks reports. The firm had revenue of $8.36 million for the quarter, compared to analyst estimates of $10.55 million. Sky Harbour Group had a return on equity of 6.45% and a net margin of 2.73%.

Here are the key takeaways from Sky Harbour Group’s conference call:

• Q3 revenue increased 45% year over year and 7% sequentially, while completed and in-progress construction reached a record $439 million. Management attributed revenue growth to new campus openings and higher occupancy and rents.
• The company lowered its year-end Adjusted EBITDA run-rate outlook to break-even to $4 million, from $4 million to $6 million, citing delayed Addison 2 revenue and startup costs at Bradley. Q3 Adjusted EBITDA was approximately negative $0.5 million, as operating expenses rose ahead of campus openings.
• Sky Harbour reported nearly $200 million in cash and Treasuries, plus about $130 million available under its committed bank facility. Management said its debt is fixed-rate and expects Public Warrant exercises could provide more than $90 million in equity capital.
• The company added Van Nuys to its airport pipeline, expanded plans at Dulles, and announced three third-party construction contracts representing about $38 million in revenue. Management said its in-house steel manufacturing and general contracting capacity could support this business, though it did not disclose expected profitability.
• Leasing remains a key execution challenge, with about 826,000 square feet to fill and management acknowledging that it expanded the leasing team more slowly than it should have. Denver and Phoenix are taking longer to lease than hoped, while construction costs face pressure from steel and labor inflation.

Sky Harbour Group Stock Up 6.0%

NYSE SKYH traded up $0.64 on Wednesday, hitting $11.23. The stock had a trading volume of 190,928 shares, compared to its average volume of 158,821. Sky Harbour Group has a one year low of $8.22 and a one year high of $11.70. The stock has a market cap of $860.44 million, a price-to-earnings ratio of -61.99 and a beta of 1.40. The company’s 50-day moving average is $9.84 and its two-hundred day moving average is $9.79.

Analyst Ratings Changes

Several research firms recently commented on SKYH. Weiss Ratings lowered shares of Sky Harbour Group from a “hold (c-)” rating to a “sell (d+)” rating in a report on Friday, October 23rd. BTIG Research restated a “buy” rating and set a $13.00 price objective on shares of Sky Harbour Group in a research note on Thursday, October 22nd. Roth Capital reissued a “buy” rating and issued a $12.50 target price on shares of Sky Harbour Group in a research report on Tuesday, August 18th. Finally, Wall Street Zen raised Sky Harbour Group from a “strong sell” rating to a “sell” rating in a research report on Sunday, September 20th. One equities research analyst has rated the stock with a Strong Buy rating, two have assigned a Buy rating and one has issued a Sell rating to the company’s stock. Based on data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and an average target price of $12.75.

Insider Buying and Selling at Sky Harbour Group

In other Sky Harbour Group news, Director Andrew Gessow purchased 5,000 shares of the firm’s stock in a transaction dated Friday, August 14th. The stock was bought at an average price of $10.85 per share, with a total value of $54,250.00. Following the completion of the purchase, the director owned 22,910 shares in the company, valued at $248,573.50. This trade represents a 27.92% increase in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. Also, CFO Francisco Gonzalez bought 3,850 shares of the stock in a transaction on Friday, October 2nd. The shares were bought at an average cost of $9.25 per share, for a total transaction of $35,612.50. Following the purchase, the chief financial officer owned 718,538 shares in the company, valued at $6,646,476.50. This trade represents a 0.54% increase in their position. The SEC filing for this purchase provides additional information. In the last three months, insiders bought 13,950 shares of company stock valued at $139,568. Company insiders own 40.70% of the company’s stock.

About Sky Harbour Group

Sky Harbour Group Corporation develops, owns and operates hangar campuses for business aviation in the United States. Its facilities are designed to provide private aircraft owners and operators with dedicated hangar space and related services. The company describes its campuses as “Home Base Operator” facilities, distinguishing them from traditional fixed-base operators that primarily serve transient aircraft. Sky Harbour’s business includes selecting airport sites and developing, leasing and managing hangar facilities.