Sky Harbour Reports Record Q1 2024 Revenues, Achieves Cash Flow Break-Even at Sky Harbour Capital and Prepares for Accelerated Construction Activity

Sky Harbour Group Corporation (NYSE American: SKYH, SKYH WS) (“SHG” or the “Company”), an aviation infrastructure company building the first nationwide network of Home-Basing campuses for business aircraft, announced the release of its unaudited financial results for the quarter ended March 31, 2024 on Form 10-Q. The Company also announced the filing of its unaudited financial results for the quarter ended March 31, 2024 for Sky Harbour Capital (Obligated Group) with MSRB/EMMA. Please see the following links to access the SEC filings:

10-Q:
https://www.sec.gov/ix?doc=/Archives/edgar/data/0001823587/00014377492 ...

MSRB/EMMA:
https://emma.msrb.org/P11753880-P11348073-P11784121.pdf

Financial Highlights include:

• 2024 Q1 revenues increased 117% as compared to Q1 2023.
• 2024 Q1 SG&A expenses increased 38% as compared to Q1 2023.
• Net cash used in operating activities on a consolidated basis during Q1 decreased from $4.5 million to $4.4 million.
• At Sky Harbour Capital (Obligated Group), cash flow provided by operating activities reached $1.2 million, an improvement versus $1.0 million used in operating activities during Q1 2023.
• The Company continues to maintain strong liquidity and capital resources. As of March 31, 2024, cash, restricted cash, and US Treasury investments amounted to approximately $160 million.

Recent noteworthy events include:

• All operating campuses are fully leased, with several initiatives underway to surpass 100% occupancy.
• New campus at San Jose Mineta began operations and is now 58% leased.
• Construction of Phases 1 in Denver, Phoenix, and Dallas is back on track after previously announced delays.

Site Acquisition Update

The Company expects to have executed ground leases at four additional airports by the end of 2024 and an additional six airports by end of year 2025.

Construction Update

New construction managers led by COO Will Whitesell onboarded at the Company are on track to deliver on our revised plan for existing construction sites and ramp up development at recently executed ground leases. Parallel initiatives are underway to reduce costs while shortening development and construction timelines at new projects.