FlyExclusive posted its third-straight quarter of positive EBITDA while cutting net and operating losses on $111 million in revenue.
FlyExclusive saw revenue surge 21.7% year-over-year in announcing second-quarter earnings for 2026.
The top line jumped from $91.3 million in Q2 2025 to $111.1 million in the most recent quarter.
For the first six months, the top line grew over 15% to $207.5 million.
Flight revenue, by far the biggest contributor, grew 15% year-over-year, with fractional sales up 29%, and MRO revenues up 38%.
Jet Club and charter revenue accounted for $178.6 million, followed by fractional at $21.9 million and $6.4 million from its MRO.
(The full 10-Q filing can be downloaded at the bottom of this article.)
Retail members, mainly from its Jet Club jet card, increased 4.5% year-over-year to 997 at the end of June.
During the quarter, FlyExclusive cut loss from operations by more than half, to $5.8 million, down from $12.4 million year-over-year.
Operating loss for the first half dropped from $27.0 million to $15.4 million.
Net loss dropped in the quarter, from $16.1 million to $11.5 million, and from $39.2 million to $24.8 million for the first six months.
Adjusted EBITDA for the quarter was $4.0 million, a reversal of Q2 2025’s negative $5.2 million.
Adjusted EBITDA for the first six months flipped from an $11.6 million loss in 2025 and negative $35.4 million in 2024 to positive $4.2 million in 2026.
It marked the third straight quarter of positive Adjusted EBITDA and the eighth time in nine quarters Adjusted EBITDA improved sequentially.
Executives, speaking on its earnings call earlier today, are forecasting Adjusted EBITDA in the range of $5 million to $7 million in Q3.
Adjusted EBITDAR in the quarter grew year-over-year from $5.0 million to $7.8 million.
For the first half, Adjusted EBITDAR was $12.3 million compared to a $1.3 million loss last year and $25.3 million back in 2024.
Gross profit increased 65% to $22.7 million over the first half of the year.
FlyExclusive Chairman and CEO Jim Segrave told an earnings call, “The second quarter represents another important milestone…I believe it provides clear evidence of how fundamentally this business has changed over the last two years.”
CFO Brad Garner said flight hours for the second quarter were up 8% compared to Q2 2025, totaling 20,040 flight hours.
The volume represented the second-highest quarter’s flight activity in company history, narrowly trailing Q4 2025.
Segrave continued, “For the last two years, we have been very clear about what needed to change at FlyExclusive,” adding, “We needed to remove unproductive aircraft, modernize the fleet, dramatically improve dispatch availability and aircraft utilization, reduce our corporate cost structure and create operating leverage.”
The company founder said, “Quarter by quarter, we have executed against that plan.”
Segrave said, “The results now demonstrate that FlyExclusive is no longer a turnaround story.”
Its fleet transition boosted the improved results.
Segrave noted:
‘In the second quarter of 2024, we generated approximately $79 million of revenue with 96 revenue-producing aircraft. In Q2 2025, revenue increased to approximately $91 million while the number of aircraft declined to 86. And this quarter, we generated more than $111 million with only 81 revenue-producing aircraft. In two years, we have increased second-quarter revenue by more than 40% while reducing the number of aircraft required to produce that revenue by approximately 15%. The first-half comparison is equally compelling. Revenue increased from approximately $159 million in the first half of 2024 to more than $207 million this year. Over that same period, revenue-producing aircraft declined from 91 to 82 – and total flight hours increased from 33,000 to more than 38,000. We are simply getting significantly more productivity from every aircraft in the fleet.’’
The Raleigh, North Carolina-based operator ended 2025 ranked 5th-largest in the U.S. based on charter and fractional flight hours, and is headed to the 4th spot in 2026.
Garner spoke about fuel prices.
He said JetA fuel peaked at $7.33 per gallon, up from an average of around $5,00 per gallon in Q1 2026.
Garner said, “We were able to effectively pass those fuel cost increases in both our wholesale and retail channels.”
There was “some pressure on reported gross margin during the quarter (but) impact on profitability was immaterial.”
He added, “Importantly, we saw no discernible impact on customer demand.”
Segrave said, “The question is no longer whether FlyExclusive can become profitable. The question is how much earnings power this platform can generate as we continue growing it.”
Since June 2025, it has cut its fleet of non-performing aircraft to five from 37.
Three are currently under contract to be sold. Segrave said he expects all to be gone by Q4.
These aircraft consumed maintenance resources, pilot resources and working capital while producing unacceptable financial returns.”
“The operating losses associated with these 37 non-performing aircraft have declined from more than $3 million per month at the beginning of 2024 to less than $300,000 per month today,” Segrave said.
FlyExclusive has moved its supermidsize fleet from a mix of Citation Xs and Sovereigns to Bombardier’s Challenger platform.
As a result, dispatch reliability increased from 48% to 58%, with the company targeting improvement to “well above 70%.”
Segrave said every additional percentage point of dispatch reliability represents $200,000 of monthly contribution.
For light jets, it has exited its Encore fleet, moving exclusively to CJ3s.
Midsize fleet stays with the Citation Excel/XLS.
Segrave said the light and midsize jets generate approximately $5 million of annual revenue.
Challengers drive “approximately $10 million annually.”
Segrave and Garner also provided context for the company’s GAAP financials and liquidity imporvements after the quarter closed.
Segrave also spoke to GAAP results:
‘It is important to put our GAAP results in the context of the underlying economics of our aircraft assets. We currently record approximately $5.5 million of depreciation each quarter, most of it associated with aircraft assets. That is a legitimate GAAP expense, but GAAP depreciation is an allocation of historical asset cost over an estimated useful life. It is not a mark-to-market adjustment reflecting the actual value of our aircraft each quarter. Over the last several years, the market values of the aircraft we operate have generally remained stable and, in many cases, have actually increased. So, while approximately $5.5 million of depreciation reduces our reported GAAP earnings each quarter, the actual economic depreciation we have experienced on our aircraft has been substantially less. I think that distinction is important when evaluating both our reported results and the underlying economics of the business.’
The company has also been working to improve its balance sheet.
Segrave said, “Long-term notes payable declined from approximately $232 million at the end of the first half of 2024, to approximately $150 million a year ago, and down to approximately $138 million today.”
Cash at the end of the quarter was $14.3 million.
That was down from $15.8 million at this point last year and up from $7.8 million in June 2024.
Deferred Revenue, mainly prepaid jet cards, but also including MRO services, was $131.4 million, down slightly year-over-year from $135.9 million.
In its 10-Q filing, the company stated, “We believe that our existing cash on hand, cash generated from operations and available borrowings under our debt arrangement will enable us to secure refinancing as needed to meet our obligations as they become due within the next 12 months.”
Segrave noted, “The Jet.AI transaction that closed early in the third quarter also improved our balance sheet, providing approximately $12 million in liquidity”
He said the company has “multiple term sheets in hand that could provide up to $50 million of liquidity,” adding, “Since the second quarter, our cash position has improved materially, and we believe we have substantial capacity to fund our planned growth.”
Garner also noted “continued expansion of the MRO,” capitalizing on its Starlink Authorized Dealership.
During the quarter, FlyExclusive also gained a $30 million grant from the state of North Carolina to expand its Kinston, North Carolina operations base.
The company went public via a SPAC IPO in December 2023.
DOWNLOAD: FlyExclusive-Q2-2026-Financials
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