Sky Harbour Soars with 78% Revenue Growth in Q3 2025

Sky Harbour Group Corp (NYSE: SKYH) demonstrated impressive growth momentum in the third quarter of 2025, transitioning from development to cash-generating operations across its expanding network of aviation campuses. The company now operates at nine fully functional locations including Sugar Land (SGR), Nashville (BNA), Miami Opa-Locka (OPF), San Jose (SJC), Camarillo (CMA), Phoenix Deer Valley (DVT), Dallas Addison (ADS), Seattle Boeing Field (BFI), and Denver Centennial (APA), with additional Tier 1 locations advancing through development and pre-leasing phases. Stonegate Capital Partners, which provides comprehensive capital markets advisory services including investor relations and equity research, highlighted Sky Harbour's significant progress in scaling operations while maintaining strong demand across its premium aviation infrastructure portfolio.

The company reported robust financial performance with consolidated revenue reaching approximately $7.3 million in 3Q25, representing a substantial 78% year-over-year increase and 11% sequential growth. This revenue surge was driven by rental income of roughly $5.7 million and fuel revenue of about $1.6 million, reflecting higher utilization at both stabilized and newly opened campuses. Notably, stabilized locations maintained near-full occupancy while newer sites like ADS and DVT surpassed the 50% leased threshold, and APA began contributing with initial leases. The construction and development pipeline expanded significantly with constructed assets and construction in progress exceeding $308 million at quarter-end, supported by ongoing investments at key locations including Phoenix Deer Valley, Dallas Addison, Denver Centennial, and Miami Opa-Locka Phase 2.

Sky Harbour strengthened its financial position through strategic capital management, including signing a joint venture letter of intent for an SH34 hangar at OPF Phase 2 and securing a new $200 million tax-exempt warehouse facility expandable to $300 million. This flexible funding structure provides attractive fixed-rate financing with no prepayment penalty, preserving capacity to fund 5-6 upcoming developments across Tier 1 airports. Stonegate's valuation analysis using Discounted Cash Flow methodology suggests a target price range of $12.81 to $19.93 with a midpoint of $15.74, reflecting confidence in Sky Harbour's growth trajectory and the company's ability to leverage its vertically integrated platform through subsidiaries like Ascend Aviation Services and Stratus Building Systems to enhance quality control and manage development costs effectively.