Mesa Profitable after Q1
 

So I just listened to the conference call for Mesa’s Q1. There was a lot of good notes I wanted to share with those of you that couldnt listen in.

- Mesa beat expectations by 400%, leading to a +$0.05 dividend per share.
- Mesa is currently Breaking-Even on day to day cost and expects to Break-even for 2020
- Mesa is still expecting to take on 20 new EJets for United
- Mesa is willing to keep crj700s if United decides to not want to convert anymore 550s and to add to the flying for Mesa (if UA wants)
- Mesa is currently using Grant Cares Act to give labor cost break to UA and AA
- Mesa is currently renegotiating new contract with AA (but no guarantees if AA goes BR)
- Mesa is expected to be able to cover all its debts and loan payments during 2020
- Mesa is expecting to receive roughly $175 million from Care Act Loan
- Extra crj900 that were reduced from the AA fleet earlier this year are expected to be held on to until value rises back to pre-covid then be sold for over $1.5 million each
- Cargo is full steam ahead to start in Sep (3 a/c)
-Cargo a/c will be provided from DHL/Amazon (not leased or bought)
- They are willing to renegotiate min guarantee in Oct, like the one before Cares Act, in order not to furlough any pilots in Oct

If I missed anything let me know. But that was most of the important info I got. I think honestly Mesa is built to last better than its competitors during this time period (except maybe SKW). Overall I think it was a lot of good news. Hope this was helpful for understanding Mesa’s current position.

Not Mesa myself but listened in. Nice to hear good news! Good job guys.

How does one get the info for these conference calls? I would have liked to listen, and didn’t even know it was going on.

I believe anyone can listen in and you could research dates and times for quarterly calls. If you trade stock and own stock in a company you get a notification from your broker. Usually an edited transcript is issued after the fact.

anyone can listen. Simple google search. Or even go to Mesa investor web site.. interesting to see Mesa turn around. BR and BH ex SkyWest folk are working hard over there...

Better than expected news. However, it’s a no thank you from me on the offer to negotiate a lower guarantee in October. Not that we’ll have the ability to vote.

Didnt have the ability to vote last time either so bend over and grab the lube lol