Mesa Air Group Inc. reported a net loss of $14.1 million, or $(0.34) per diluted share, for the quarter ended September 30, 2025, a 43 % improvement from the $24.9 million loss, or $(0.60) per diluted share, recorded a year earlier. Operating revenue fell 21.3 % to $90.7 million, driven by a 29.6 % decline in contract revenue to $66.0 million as United Airlines capacity under the new capacity purchase agreement was reduced. Pass‑through revenue rose 14.9 % to $22.8 million, partially offsetting the revenue decline. Operating expenses dropped 24.5 % to $99.9 million, largely due to $15.2 million lower asset‑impairment charges and reduced depreciation and amortization from the retirement and sale of CRJ aircraft and engines.
Liquidity remained robust, with $38.7 million in unrestricted cash and cash equivalents at September 30, 2025, and total debt of $95.2 million, a sharp decline from $315.2 million a year earlier. The company paid $18.5 million toward debt during the quarter, primarily from proceeds of asset sales. While the press release references a United Airlines liquidity facility and a United loan, specific dollar amounts for these facilities were not disclosed in the Q3 2025 results.
Mesa Air Group’s operational performance remained strong, with a 100 % controllable completion factor and the highest on‑time and net promoter score metrics among United regional carriers. These figures underscore the company’s ability to maintain high service quality even as it adjusts capacity under the new United agreement.
Strategic context for the quarter includes the impending merger with Republic Airways Holdings, expected to close on November 25, 2025. The merger is viewed as essential for Mesa’s long‑term viability, while the new ten‑year United capacity purchase agreement provides a stable revenue base. The company’s debt‑reduction strategy, driven by asset sales, has already cut more than two‑thirds of its debt principal over the past year.
CEO Jonathan Ornstein said the quarter “demonstrated a stabilized operating and financial position, driven by our efforts to enhance utilization and block‑hour production, sell surplus assets, and repay over two‑thirds of our debt principal over the past year.” He added that the new United agreement “will support day‑one benefits and long‑run value creation for the newly combined company.”
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