Sky Harbour Group (NYSE:SKYH) Posts Earnings Results, Misses Estimates By $0.01 EPS

Sky Harbour Group (NYSE:SKYH) posted its quarterly earnings data on Wednesday. The company reported ($0.15) EPS for the quarter, missing analysts’ consensus estimates of ($0.14) by ($0.01), Zacks reports. Sky Harbour Group had a return on equity of 6.83% and a net margin of 63.95%.The company had revenue of $0.01 million during the quarter, compared to analyst estimates of $9.44 million.

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

• Q2 revenue rose 50% year over year and 13% sequentially, driven by new campus openings, higher occupancy, and rent increases. Operating cash flow turned positive at approximately $0.5 million, which management described as a company milestone.
• Sky Harbour Capital revenue increased 79% year over year, while operating cash flow reached nearly $3 million for the quarter and marked the subsidiary’s 10th consecutive quarter of positive cash flow. Management expects operating leverage from Opa-locka Phase II and Addison Phase II to expand gross profit and EBITDA margins.
• Management reaffirmed year-end guidance for an annualized revenue run rate of $42 million to $46 million and adjusted EBITDA of $4 million to $6 million. It expects further gains from Opa-locka leasing, higher occupancy at Denver and Phoenix, and upcoming Bradley and Addison Phase II openings.
• Liquidity totaled more than $207 million in cash and U.S. Treasuries, plus approximately $130 million of available construction financing; the company also completed a $40 million common-stock placement. Management said potential public-warrant exercises could provide another roughly $94 million, but the equity issuance diluted existing shareholders.
• Adjusted EBITDA remained negative at approximately $0.9 million in Q2, while operating expenses continued to rise due partly to campus headcount and non-cash ground-lease accruals. Leasing has been slower than expected at Denver Centennial, and management acknowledged potential construction-inflation headwinds despite current costs of about $242 per square foot.

Sky Harbour Group Price Performance

Shares of SKYH stock traded down $0.43 during trading hours on Thursday, reaching $11.05. The company had a trading volume of 384,796 shares, compared to its average volume of 149,496. The company has a market cap of $846.04 million, a price-to-earnings ratio of 275.62 and a beta of 1.31. Sky Harbour Group has a 12 month low of $8.22 and a 12 month high of $11.70. The business has a fifty day simple moving average of $10.05 and a 200-day simple moving average of $9.70.

Insider Transactions at Sky Harbour Group

In other news, Director Andrew J. Gessow acquired 5,000 shares of the business’s stock in a transaction on Wednesday, May 20th. The shares were purchased at an average cost of $8.95 per share, with a total value of $44,750.00. Following the acquisition, the director directly owned 17,910 shares of the company’s stock, valued at $160,294.50. The trade was a 38.73% increase in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. 40.70% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Sky Harbour Group

A number of institutional investors have recently added to or reduced their stakes in the company. Geode Capital Management LLC boosted its stake in shares of Sky Harbour Group by 32.1% in the 2nd quarter. Geode Capital Management LLC now owns 465,415 shares of the company’s stock worth $4,548,000 after buying an additional 112,994 shares during the last quarter. Rhumbline Advisers boosted its position in Sky Harbour Group by 185.5% in the second quarter. Rhumbline Advisers now owns 33,409 shares of the company’s stock worth $326,000 after purchasing an additional 21,708 shares during the last quarter. American Century Companies Inc. grew its stake in Sky Harbour Group by 64.9% in the 2nd quarter. American Century Companies Inc. now owns 34,123 shares of the company’s stock valued at $333,000 after purchasing an additional 13,434 shares during the period. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. increased its position in shares of Sky Harbour Group by 68.2% during the 2nd quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 11,639 shares of the company’s stock valued at $114,000 after purchasing an additional 4,721 shares during the last quarter. Finally, Bank of America Corp DE raised its stake in shares of Sky Harbour Group by 173.7% during the 2nd quarter. Bank of America Corp DE now owns 702,494 shares of the company’s stock worth $6,863,000 after purchasing an additional 445,828 shares during the period. 14.75% of the stock is owned by institutional investors.

Wall Street Analysts Forecast Growth

A number of research analysts have recently issued reports on the stock. Weiss Ratings upgraded shares of Sky Harbour Group from a “sell (d)” rating to a “sell (d+)” rating in a research report on Monday, July 6th. Noble Financial raised shares of Sky Harbour Group to a “strong-buy” rating in a research note on Monday, May 18th. Finally, Roth Capital assumed coverage on shares of Sky Harbour Group in a report on Friday, July 31st. They issued a “buy” rating and a $14.00 target price on the stock. Two equities research analysts have rated the stock with a Strong Buy rating, two have issued a Buy rating, one has given a Hold rating and one has given a Sell rating to the company’s stock. According to data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and a consensus price target of $13.50.

Sky Harbour Group Company Profile

Sky Harbour Group Inc is a U.S.-based real estate development and operating company focused on private aviation infrastructure. The company specializes in the acquisition, design and management of fixed-base operations (FBOs), aircraft hangarage and private terminals that serve business and general aviation operators. By providing expedited ground handling, concierge services and state-of-the-art facilities, Sky Harbour seeks to streamline the operations of private jet owners, fractional-ownership programs and charter operators while reducing congestion at major airports.

Through strategic leases and joint-venture partnerships, Sky Harbour has established a growing presence at key regional and metropolitan airports across the United States.