Stonegate Capital Partners Updates Coverage On Surf Air Mobility Inc. (SRFM) Q425

Rhea-AI Summary

Surf Air Mobility (NYSE: SRFM) reported FY25 revenue of $106.6M, an adjusted EBITDA loss improved to $41.7M, and net debt fell 47% year-over-year to $74M. 4Q25 revenue was $26.4M with an adjusted EBITDA loss just under $8M.

The report highlights a shift away from unprofitable scheduled routes toward a stronger charter and On Demand mix (On Demand +36%), and cites SurfOS and the BETA electrification partnership as upside levers for FY26 execution and back-half growth.

Positive

• FY25 revenue of $106.6M met raised outlook
• Adjusted EBITDA loss improved to $41.7M
• Net debt down 47% y/y to $74M
• On Demand segment growth of 36%
• 4Q25 revenue of $26.4M within guidance

Negative

• FY25 adjusted EBITDA still a $41.7M loss
• Exit of unprofitable scheduled routes pressured near-term margins
• 4Q25 adjusted EBITDA loss near $8M indicates ongoing cash burn

Market Reaction – SRFM

+4.11% $1.52

15m delay 40 alerts

+4.11% Since News

$1.52 Last Price

$1.44 $1.81 Day Range

+$4M Valuation Impact

$92M Market Cap

0.1x Rel. Volume

Following this news, SRFM has gained 4.11%, reflecting a moderate positive market reaction. Our momentum scanner has triggered 40 alerts so far, indicating elevated trading interest and price volatility. The stock is currently trading at $1.52. This price movement has added approximately $4M to the company's valuation.

Data tracked by StockTitan Argus (15 min delayed). Upgrade to Silver for real-time data.

Key Figures

FY25 revenue: $106.6M FY25 adj. EBITDA loss: $41.7M Net debt: $74M +3 more

6 metrics

FY25 revenue $106.6M Full-year 2025; met raised outlook

FY25 adj. EBITDA loss $41.7M Full-year 2025; loss improved on restructuring

Net debt $74M As of FY25; down 47% year over year

4Q25 revenue $26.4M Fourth quarter 2025; within guidance

4Q25 adj. EBITDA loss Just under $8M Fourth quarter 2025; within guidance

On Demand growth 36% On Demand segment growth as SRFM shifted to charter mix

Market Reality Check

Price: $1.88 Vol: Volume 8,336,510 is 5.0x ...

high vol

$1.88 Last Close

Volume Volume 8,336,510 is 5.0x the 20-day average of 1,655,174, signaling unusually heavy trading into this news. high

Technical Shares at $1.46 are trading below the 200-day MA of $3.36 and sit 85.3% under the 52-week high.

Peers on Argus

SRFM fell 5.1% while peers were mixed: MESA up 1.45%, but SNCY, ULCC, VLRS, and ...

SRFM fell 5.1% while peers were mixed: MESA up 1.45%, but SNCY, ULCC, VLRS, and FLYX down between 0.71–2.51%, pointing to a stock-specific reaction rather than a unified airlines move.

Historical Context

5 past events · Latest: Mar 12 (Positive)

Pattern 5 events

Date	Event	Sentiment	Move	Catalyst
Mar 12	Strategic partnership	Positive	-5.0%	Firm purchase agreement for BETA electric aircraft and launch partnership.
Feb 26	Earnings timing	Neutral	-4.4%	Announcement of date and webcast for Q4 and full-year 2025 results.
Jan 27	Hawaii partnership	Positive	+1.8%	Partnership with Hawaii DOT and BETA to advance electric aviation via eIPP.
Jan 22	Network investment	Positive	+4.1%	Plan to invest in Mokulele and Hawaii infrastructure to support AAM growth.
Jan 08	Conference attendance	Neutral	+5.6%	CEO participation and investor meetings at Needham Growth Conference.

Pattern Detected

Recent news skew positive/strategic, but price reactions have often diverged, with several upbeat partnership and operations updates followed by negative moves.

Recent Company History

Over the last few months, SRFM has highlighted partnerships, Hawaii-focused growth, and investor outreach. A Jan 22 Hawaii investment update and Jan 27 BETA collaboration news underscored its advanced air mobility strategy, while a Needham conference appearance on Jan 8 supported visibility. The recent BETA aircraft purchase agreement on Mar 12 drew a negative reaction despite its strategic tone. Today’s coverage update, emphasizing restructuring progress and cleaner execution, follows this pattern of operationally constructive messages amid mixed share performance.

Regulatory & Risk Context

Active S-3 Shelf · $100,000,000

Shelf Active

Active S-3 Shelf Registration 2025-11-14

$100,000,000 registered capacity

An amended S-3/A mixed shelf filed on Nov 14, 2025 registers up to $100,000,000 of primary securities plus up to 23,990,096 common shares, including stock tied to a $74.0 million senior secured convertible note maturing in 2028. The shelf provides flexibility to issue equity, debt, or warrants, which could increase outstanding shares depending on future usage.

Market Pulse Summary

This announcement underscores SRFM’s restructuring progress, with FY25 revenue of $106.6M meeting ra...

Analysis

This announcement underscores SRFM’s restructuring progress, with FY25 revenue of $106.6M meeting raised guidance, adjusted EBITDA loss improving to $41.7M, and net debt reduced to $74M. The mix shift toward higher-margin On Demand charter, with 36% growth, supports the recovery framing. Investors may track how 2026 execution, especially around SurfOS and the electrification partnership, interacts with existing balance-sheet tools such as the $100M mixed shelf and the senior secured convertible note.

Key Terms

adjusted EBITDA, net debt, convertible note

3 terms

adjusted EBITDA financial

"Full-year revenue of $106.6M met the company's raised outlook, while adjusted EBITDA loss improved..."

Adjusted EBITDA is a way companies measure how much money they make from their core operations, like running a business, by removing certain costs or income that aren’t part of regular business activities. It helps investors see how well a company is doing without distractions from unusual expenses or gains, making it easier to compare companies or track performance over time.

net debt financial

"Net debt also declined 47% y/y to $74M, supported by capital actions..."

Net debt is the total amount a company owes after subtracting the cash and assets it has that can be used to pay off that debt. It shows how much debt is truly a burden, helping investors understand if a company is financially healthy or heavily borrowed. Think of it like calculating how much money you owe after using your savings to pay part of it.

convertible note financial

"Net debt also declined 47% y/y to $74M, supported by capital actions and convertible note conversion."

A convertible note is a type of loan that a company gets from investors, which can later be turned into company shares instead of being paid back in cash. It matters because it helps startups raise money quickly without setting a fixed value for the company right away, making it easier to grow and attract investors.

AI-generated analysis. Not financial advice.

Dallas, Texas--(Newsfile Corp. - March 13, 2026) - Surf Air Mobility Inc. (NYSE: SRFM): Stonegate Capital Partners Updates Coverage on Surf Air Mobility Inc. (NYSE: SRFM). SRFM's FY25 results suggest the company is emerging from restructuring with a more stable operating base and a clearer path to growth. Full-year revenue of $106.6M met the company's raised outlook, while adjusted EBITDA loss improved to $41.7M on better airline operations, a stronger charter mix, and continued execution under the transformation plan. Net debt also declined 47% y/y to $74M, supported by capital actions and convertible note conversion. In 4Q25, SRFM reported revenue of $26.4M and an adjusted EBITDA loss of just under $8M, both within guidance despite pressure from exiting unprofitable scheduled routes. Overall, the quarter reinforced continued progress in the transformation heading into 2026.

To view the full announcement, including downloadable images, bios, and more, click here.

Key Takeaways:

• Restructuring is starting to show up in cleaner operating execution and a more credible path to growth: FY25 revenue met the raised outlook, adjusted EBITDA loss improved materially, and net debt fell 47% y/y, suggesting SRFM is moving out of stabilization mode and into a more investable recovery story.
• Airline mix is improving, not just revenue: On Demand grew 36% as SRFM shifted away from unprofitable routes toward better charter mix and execution.
• Software and electrification are the upside levers: SurfOS and the BETA partnership add credible optionality, but FY26 execution and back-half growth matter most.

Click image above to view full announcement.

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About Stonegate
Stonegate Capital Partners is a leading capital markets advisory firm providing investor relations, equity research, and institutional investor outreach services for public companies. Our affiliate, Stonegate Capital Markets (member FINRA) provides a full spectrum of investment banking, equity research and capital raising for public and private companies.

Contacts:

Stonegate Capital Partners
(214) 987-4121
info@stonegateinc.com

Source: Stonegate, Inc.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/288525

FAQ

What were Surf Air Mobility (SRFM) FY25 revenue and adjusted EBITDA on March 13, 2026?

FY25 revenue was $106.6M and adjusted EBITDA loss was $41.7M. According to the company, revenue met its raised outlook while EBITDA loss improved due to better airline operations and a stronger charter mix.

How much did Surf Air Mobility (SRFM) reduce net debt by in FY25?

Net debt declined 47% year-over-year to $74M. According to the company, this reduction was supported by capital actions and conversion of convertible notes, improving the company’s balance sheet flexibility.

What were Surf Air Mobility (SRFM) 4Q25 results and guidance status?

4Q25 revenue was $26.4M with an adjusted EBITDA loss just under $8M, both within guidance. According to the company, results reflected exits from unprofitable scheduled routes and a stronger charter mix.

How did Surf Air Mobility (SRFM) On Demand perform in FY25 and why does it matter?

On Demand grew 36%, indicating a shift to higher-margin charter services. According to the company, this mix change improved operating execution and supports a clearer path to growth into 2026.

What upside drivers does Surf Air Mobility (SRFM) cite for FY26 execution?

Management cited SurfOS software and a BETA electrification partnership as key upside levers for FY26. According to the company, back-half execution and growth will determine how much optionality these initiatives deliver.