Stonegate Capital Partners Updates Coverage on Surf Air Mobility Inc. (NYSE: SRFM) Following 1Q26 Results

Stonegate Capital Partners has updated its coverage on Surf Air Mobility Inc. (NYSE: SRFM) following the company's first-quarter 2026 results, which demonstrated continued execution under its transformation plan. The company reported revenue of $25.6 million, at the high end of its guidance range and up 9% year-over-year, while its adjusted EBITDA loss of $12.3 million outperformed the guided range of $15.5 million to $13.5 million. These results were supported by improved margins in its On Demand private charter business, cost controls across airline operations, and faster, more cost-efficient development and deployment of its SurfOS platform.

Key takeaways from the update highlight that the transformation plan is beginning to show operating leverage. Revenue for the quarter came in at the high end of guidance, and the adjusted EBITDA loss beat expectations, driven by route rationalization, On Demand margin expansion, and tighter cost controls. Surf Air Mobility's On Demand and SurfOS segments are becoming core growth and margin drivers. Surf On Demand revenue increased 77% year-over-year to $10.1 million, with revenue per flight up 38% and gross margin improving by approximately 340 basis points. Additionally, traction with BrokerOS and OperatorOS suggests that SurfOS is evolving into a commercial software platform.

The company's full-year 2026 outlook appears improved, as management maintained revenue guidance of $128 million to $138 million and improved adjusted EBITDA loss guidance by approximately 40%. Despite this progress, Surf Air Mobility trades at 1.3 times forward EV/Revenue for fiscal year 2027, compared to peers at 2.4 times, suggesting a potential multiple re-rating if execution continues. The full announcement, including downloadable images and additional details, can be accessed here.

Stonegate Capital Partners, a capital markets advisory firm, provides investor relations, equity research, and institutional investor outreach services. Its affiliate, Stonegate Capital Markets (member FINRA), offers investment banking, equity research, and capital raising for public and private companies. For more information, contact Stonegate Capital Partners.