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Surf Air Mobility (NYSE: SRFM) Just Landed On The Top Of Our Watchlist
This Morning — Friday, November 6, 2026
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Surf Air Mobility Reports Third Quarter 2026 Financial Results, Meeting Revenue and Adjusted EBITDA Guidance
November 6, 2026
Dear Reader,
Since 2024, Surf Air Mobility (NYSE: SRFM) has told the market that the software it built to run its own airline would eventually be sold to the rest of the industry. Over the past month, that stopped being a plan.
On September 17, the company signed its first commercial OperatorOS contract with Sprintbach Aviation. Six days later, on September 23, it signed a second with SkyDance Air.
That same morning, it named Barrett Brown, a 10-year Palantir veteran who ran Palantir's Asia business, as President of SurfOS.
Clipper Aviation became the fourth.
Then, on October 15, Surf Air Mobility signed its fifth commercial OperatorOS agreement with Flying Zebra for OperatorOS.
Five commercial operators. One Palantir-trained executive was hired to sell the platform. All inside a span of about a month.
And on November 5th, Surf Air Mobility (NYSE: SRFM) reported financial results for the third quarter ended September 30, 2026, and provided a progress update for the Company’s SurfOS software, Surf On Demand, and airline operations businesses.
“The third quarter was the highest revenue and best Adjusted EBITDA quarter in Surf Air Mobility’s history, with revenue and Adjusted EBITDA within guidance,” said CEO Deanna White.
Total revenue of $36.5M, within guidance of $35.5M to $37.5M, a 25% year-over-year increase and a 24% increase compared to the second quarter of 2026. This was the highest quarterly revenue in company history.
Here is what just happened, and why it matters.
OperatorOS Is No Longer a Product Launch.
Surf Air Mobility (NYSE: SRFM) announced a definitive agreement with Air Fuga, its third OperatorOS customer in less than two weeks. The Company also announced that its partnership with Palantir Technologies Inc. is accelerating the commercialization of OperatorOS and the development of OwnerOS. These announcements come as Barrett Brown, the former Head of Asia at Palantir, begins his role as President of SurfOS, effective September 30, 2026, where he will lead efforts to scale commercial deployment and grow SurfOS revenue.
The definitive agreement with Air Fuga for OperatorOS continues the commercial momentum of OperatorOS, following recent announcements of contracts with Sprintbach Aviation and SkyDance Air. Surf Air Mobility will earn a percentage of revenue for all trips managed through the OperatorOS software.
SkyDance is the second largest single-fleet operator of Cirrus Vision Jets in North America. It flies three aircraft today and plans to grow to approximately ten in 2027, and once again SRFM earns a percentage of revenue on every trip the software manages.
That pricing model is the point. Surf Air Mobility is not selling a one-time license, it will take a slice of its customers' revenue, so the software line grows as the operators grow.
Liam Fayed, Co-founder of Surf Air Mobility, put it plainly. Quote:
"OperatorOS is an ideal solution for an operator like SkyDance, a high-volume Part 135 business that needs better tools to manage scheduling and crew operations as they grow. This second agreement of OperatorOS reinforces a trend we are seeing with operators needing a single platform built with modern software that replaces the patchwork of systems and manual processes they are using today."
OperatorOS is the piece of SurfOS built for Part 135 operators. It handles aircraft and crew scheduling, flight management, reporting, and distribution from a single AI-enabled system powered by Palantir's Foundry and AIP platforms
Surf Air Mobility has run its own airlines, Southern Airways and Mokulele Airlines, on OperatorOS since 2025. So the first outside customers are not buying a demo, they are buying software that already runs roughly 112 scheduled departures a day in Hawaii alone.
Sprintbach operates nine aircraft with 16 pilots, and it already flies for Surf On Demand, so it had watched OperatorOS run a real airline before it signed. Under the agreement, SRFM will earn a percentage of revenue on every Sprintbach trip managed through the software.
And the list keeps growing. On October 6, Clipper Aviation signed on as the fourth OperatorOS customer, making it four operators in less than three weeks. Same model as the others: SRFM earns a percentage of revenue on every Clipper trip the software manages.
Clipper flies four aircraft with a lean team, exactly the kind of operator that needs its systems to do the heavy lifting. OperatorOS gives it streamlined aircraft and crew scheduling, sharper visibility into its operations, and far fewer manual processes, all from a single AI-enabled platform. Clipper President Charles Raffini described OperatorOS as built to grow with the business, and said the team is excited to automate even more of its day-to-day operations.
On October 15, Surf Air Mobility signed a definitive agreement with Flying Zebra for OperatorOS. This contract is the company’s fifth commercial OperatorOS agreement and will contribute to the Company's goal of having five operators live on OperatorOS by the end of 2026. Surf Air Mobility will earn a percentage of revenue for all Flying Zebra trips managed through the OperatorOS software.
One more detail sits inside these releases. The FAA recently approved OperatorOS as an authorized system of record for electronic signatures and recordkeeping.
For a regulated Part 135 operator, that is the difference between a nice dashboard and a system it can actually run its certificate on. Management's stated goal is five operators live on OperatorOS by the end of 2026
And the payoff is already showing up inside Surf Air Mobility's own airlines. On October 7, Surf Air Mobility (NYSE: SRFM) reported that SurfOS has cut direct operating cost per block hour by 6%, fuel burn per block hour by 9%, and pilot cost per block hour by 9% year-to-date in 2026, while improving labor productivity per block hour by 15%.17 The company has deployed SurfOS flight management, crew reserve, and fuel optimization modules across its airline operations, and plans to complete the digitization of crew scheduling and payroll, dispatch, and maintenance on the platform next
That is what every new OperatorOS customer is buying into. The same software, already proving out savings on a real airline.
SurfOS brings Palantir-powered AI to the fragmented private aviation market through three flagship products: BrokerOS, OperatorOS, and OwnerOS.
Every Operator Added Makes the Other Side of the Platform Stronger
SurfOS is built as a two-sided platform. Brokers on BrokerOS need aircraft, and operators on OperatorOS supply them.
The company says each new operator on OperatorOS adds supply and operational data to the platform, which strengthens the supply and demand dynamics with BrokerOS and improves distribution through the broker network. In plain terms, every operator that signs makes BrokerOS more valuable to every broker already on it.
Barrett Brown made the same point announcing the Clipper deal, noting that each new aircraft "gives our broker network more inventory to choose from."
And BrokerOS already has its anchor customer. In June, Wheels Up Experience, one of the largest private aviation companies in the world, became the launch customer for Enterprise BrokerOS in a contract worth up to $12M over the initial three-year term.
The independent broker program, Powered by Surf On Demand, has drawn hundreds of applications since launch. It has generated significant revenue and is gross margin positive. .
So SurfOS now has paying customers on both sides of the marketplace. That is the moment platform businesses are built on.
The Executive Hired to Sell It Spent 10 Years at Palantir
Surf Air Mobility (NYSE: SRFM) appointed Barrett Brown as President of SurfOS, effective September 30. He will lead go-to-market, strategy, and commercial expansion for the software business.
Brown spent 2013 to 2024 at Palantir Technologies, starting as a Forward Deployed Engineer in New York and serving as Head of Asia from 2018, where he ran business strategy and operations across the region for government and commercial clients. He then served as Vice President and Head of APAC at Maxar Technologies and has advised Turion Space since 2024.
In his own words. Quote:
"I spent my career at Palantir scaling enterprise software into new markets, and I'm looking forward to repeating that success at SurfOS as we build a massive business."
Chairman Shawn Pelsinger, himself a ten-year Palantir veteran, worked alongside Brown there. Quote:
"Barrett and I worked together at Palantir, and I've witnessed first hand his success in building and scaling disruptive software platforms. He has a rare ability to translate complex technology into commercial strategies that drive and accelerate customer adoption. Barrett is the leader that SurfOS needs today."3
Step back and look at the whole picture. Palantir is one of the company's largest outside shareholders.
In June 2026, Palantir expanded the partnership, adding engineering resources plus business development and go-to-market staff who now participate directly in SurfOS enterprise sales.
In July, Pelsinger became Chairman of the Board.
Palantir's fingerprints are now on the cap table, the boardroom, the engineering team, and the executive running the software business. Companies do not get that treatment from Palantir by accident.
On October 29, 2026, Surf Air Mobility provided an update on recent achievements and priorities for SurfOS, the Company’s AI-enabled software operating system powered by Palantir Technologies (NASDAQ: PLTR).
Recent Highlights:
- Signed five OperatorOS definitive agreements with small and mid-sized Part 135 operators: Sprintbach Aviation, SkyDance Air, Air Fuga, Clipper Aviation, and Flying Zebra. Surf Air Mobility will earn a percentage of revenue for all trips managed through OperatorOS, and the Company is currently working to implement these operators.
- OperatorOS received FAA authorization as a system of record, allowing the Company’s airline to use electronic signatures, records, and manuals in place of paper.
- Signed a multi-year Enterprise BrokerOS contract with Wheels Up worth up to $12M over the contract term.
- BrokerOS has been commercially live since December 2025. In internal deployment, BrokerOS is helping the Company’s charter business achieve more bookings and faster quote-to-close time.
- Expanded the Company’s partnership with Palantir, adding dedicated engineering and go-to-market resources to accelerate the commercial release of OperatorOS and SurfOS Enterprise Solutions. Under an exclusive teaming agreement, Palantir co-sells SurfOS to enterprise prospects, and its forward-deployed engineers support enterprise sales and implementation.
- Delivered SurfOS-enabled efficiency gains in the Company’s airline operations, including a 6% reduction in direct operating cost per block hour YTD 2026.
- Launched new software modules designed to improve internal efficiency, including automated pilot pay, crew reserves, fuel optimization, CRM functionality in BrokerOS, BrokerOS mobile iOS and Android apps, and a travel agent portal that further enables the Powered by Surf On Demand independent broker program.
The Third Quarter Numbers Behind the Story
Software contracts are easier to trust when the underlying business is executing. The third quarter, reported November 5, showed exactly that.
- Total revenue of $36.5M, within guidance of $35.5M to $37.5M, a 25% year-over-year increase and a 24% increase compared to the second quarter of 2026. This was the highest quarterly revenue in Company history.
- Surf On Demand revenue of $19M, a 121% year-over-year increase and a 57% increase compared to the second quarter of 2026 reflecting increased demand and increased revenue per departure.
- Increased departures to a record 1,417, up 86% year-over-year.
- Adjusted EBITDA loss of $6.7M, within guidance of $7M to $4M, a 32% year-over-year improvement and a 36% improvement compared to the second quarter of 2026.
- Generated positive Adjusted EBITDA of $1.2M for the airline, improving in each quarter of 2026.
- Improved controllable completion factor 2 percentage points to 98%, on-time arrivals increased 4 percentage points to 87% compared to the second quarter of 2026, and on-time departures were up 4 percentage points, to 80%, despite two hurricanes in Hawaii.
Fourth Quarter 2026
- Revenue in the range of $36.4M to $46.4M.
- Adjusted EBITDA loss in the range of $5.4M to $2.4M, which excludes the impact of equity-based compensation, changes in fair value of financial instruments, and transaction and restructuring expenses.
Full Year 2026
- Revenue in the range of $128M to $138M.
- Adjusted EBITDA loss in the range of $35M to $32M, a modification from $30M to $25M. Guidance modification due to higher fuel prices and extended implementation periods for SurfOS.
The Company expects airline Adjusted EBITDA to improve further in the fourth quarter.
Hawaii Just Locked In Four Years of Federal Revenue
On September 14, the U.S. Department of Transportation awarded Mokulele Airlines a new Essential Air Service contract to continue scheduled service to Lanai.The contract represents $19.4M in EAS subsidies over four years, excluding passenger fares, doubling the term of the prior contract and providing contracted revenue through August 2030.
Mokulele won it through a competitive process. In awarding the contract, the DOT highlighted Mokulele's track record serving the Lanai community, its established infrastructure in Hawaii, and the strength of its interline connectivity.
Under the new contract, Mokulele will operate 63 weekly round trips, or 126 weekly flights, connecting Lanai to Honolulu and Kahului. Today Mokulele runs approximately 112 daily departures across five islands and is the largest commuter airline network in Hawaii by airports served.
That last line is not a throwaway. Hawaii's short average stage length and high-frequency interisland routes make it a model network for the introduction of electric aircraft.
Surf Air Mobility (NYSE: SRFM) holds a firm order for 25 all-electric BETA ALIA aircraft with options for up to 75 more, and is BETA's designated launch operator for commercial electric passenger service. In June, BETA's electric aircraft began landmark demonstration flights across the Hawaiian Islands with Hawaiian Airlines' support.
The BETA ALIA in Surf Air livery. Surf Air Mobility has placed a firm order for 25 aircraft with options for up to 75 more.
Sitting at the Table With the FAA, Joby, and Archer
On September 10, SRFM executives attended the launch meeting for Project Nexus at Alliance Field in Fort Worth, Texas.13 Project Nexus is the FAA's eVTOL Integration Pilot Program initiative awarded to North Texas, bringing together a coalition of the industry's leading eVTOL manufacturers, including BETA Technologies, Joby Aviation, and Archer Aviation.
Think about who is in that room. Aircraft makers still working toward certification, and one company with a Part 135 airline, real crews, and the software to run them.
CEO Deanna White made the positioning explicit. Quote:
"We built SurfOS and our operating airline for this moment. Surf Air Mobility's role is to make sure that once these aircraft are certified, there is a commercial platform available for their technologies to seamlessly go to market and scale."
The company has a stated goal of flying the first commercial passenger electric flight once the aircraft are certified. Every eVTOL maker in that coalition will need an operator to bring its aircraft into service, and Surf Air Mobility is building the platform to be that operator.
And on September 28, 2026, it was also announced SRFM had signed a Memorandum of Agreement with the FAA to participate in the agency’s Strategic Management of Airspace, Routes, and Trajectories (“SMART”) program. Under the agreement, Surf Air Mobility will serve as a Participating Airspace User in the FAA’s evaluation of new tools designed to modernize how the National Airspace System is managed.
Surf Air Mobility has several potential catalysts on the radar right now:
- Five OperatorOS Contracts in Less Than a Month: Sprintbach Aviation on September 17, SkyDance Air on September 23, Air Fuga, and Clipper Aviation on October 6, and Flying Zebra on October 15, all paying a percentage of flight revenue, against a stated goal of five operators live by year-end.
- A Palantir Veteran Now Runs SurfOS: Barrett Brown, 11 years at Palantir and former Head of Asia, took over as President of SurfOS on September 30.
- BrokerOS Has Its Enterprise Anchor: Wheels Up signed as launch customer for Enterprise BrokerOS, worth up to $12M over the initial three-year term.
- Highest Quarterly Revenue in Company History: Total revenue of $36.5M, within guidance of $35.5M to $37.5M, a 25% year-over-year increase and a 24% increase compared to the second quarter of 2026.
- $19.4M in Contracted Federal Revenue Through 2030: The four-year Lanai Essential Air Service contract, awarded competitively by the DOT.
- The Electric Aviation Launchpad: 25 BETA aircraft on firm order with options for 75 more, demonstration flights already flown in Hawaii, and a seat at the FAA's Project Nexus alongside BETA, Joby, and Archer.
- A $75B to $115B Market: McKinsey projects the regional air mobility market at $75 to $115B by 2035, and NASA has called it transformational for American transportation.
What to Watch Before Year-End
Management has put specific markers on the calendar for the fourth quarter. These are the checkpoints:
- Onboard OperatorOS customers and continue signing new operators from the network of more than 450 operator relationships.
- Fourth quarter revenue in the range of $36.4M to $46.4M.
- Additional SurfOS enterprise contracts, with Palantir's go-to-market staff now in the sales process.
- Full digitization of crew scheduling and payroll, dispatch, and maintenance on SurfOS across the airline.
- Continued progress toward the first commercial passenger electric flight in Hawaii.
The software is sold. The operators are signing. A Palantir veteran is running it. And the airline underneath just locked in federal revenue through 2030.
That is the Surf Air Mobility (NYSE: SRFM) story this week and as always, please remember to do your own research.
READ THE FULL SURF AIR MOBILITY STORY HERE
Sincerely,
Alex Ramsay
Co-Founder / Managing Editor
Krypton Street Newsletter
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