Surf Air says cost cuts and smaller fleet edge it toward profit

Surf Air Mobility has reduced spending on staff and operations and reshaped its fleet as it seeks to become profitable, the regional start-up carrier said in an update. The company gave no specifics about how many aircraft were involved or what changed in the financing arrangements behind them.

The carrier said its SurfOS software platform cut fuel use per block hour by 9% and lifted labour productivity per block hour by 15% so far in 2026. Los Angeles-based Surf said those figures reflect a smaller, more dependable operation built around spending on technology, operations and the passenger experience, according to Louis Saint-Cyr, the company's president of airline operations.

Looking ahead, Surf intends to improve margins on both its Hawaii and mainland routes and to build on the positive adjusted EBITDA its airline operations posted in 2025. The company also plans to add passenger and cargo flying with electric aircraft from Beta Technologies once those models are certified.

In September, Surf's Mokulele subsidiary won an Essential Air Service contract from the US Department of Transportation to link Honolulu with Lanai airport. The award carries $19.4m in subsidies through August 2030, double the value of the previous contract.

The company added two Cessna Caravans during the second quarter as part of fleet renewal. In August it projected a full-year adjusted loss before interest, taxes, depreciation and amortisation of between $25m and $30m, with revenue of $128m to $138m. Chief executive Deanna White said at the time that the company was positioned to pursue revenue growth and profitability at the same time.