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    BAER
    Earnings call· Jun 2026(Q2 FY26)

    Bridger Aerospace Group Holdings Q2 FY26 earnings call BAER

    Aug 6, 2026 Source

    Executive summary

    Bridger Aerospace Q2 FY26 — Strong Demand and Strategic Contract Wins

    Bridger Aerospace reported Q2 FY26 results in line with expectations, driven by strong U.S. wildfire activity and strategic contract wins, despite a net loss and lower adjusted EBITDA. The company secured record-length U.S. Forest Service task orders and a significant multi-year contract with Texas A&M, diversifying its revenue streams beyond aerial operations. While European deployments faced delays, robust domestic demand and technological advancements position Bridger for continued execution through an active fire season, with a focus on long-term growth and financial discipline.

    Highlights

    4

    • Awarded two 160-day task orders for four Super Scoopers by U.S. Forest Service, the longest guaranteed orders in company history, improving fleet utilization and operational visibility.

    • Secured a $58 million contract with Texas A&M Forest Service for three King Air 360 multi-mission aircraft, representing a new avenue of non-seasonal long-term growth.

    • Expanded IGNIS technology through a strategic partnership with TRAC+, integrating real-time aircraft tracking and mission intelligence.

    • Revenue increased 16% year-over-year excluding non-recurring return-to-service work, reflecting increased Super Scooper flight hours and continued demand.

    Concerns

    4

    • Net loss of $0.5 million in Q2 FY26 compared to net income of $0.3 million in Q2 FY25.

    • Adjusted EBITDA decreased to $8.1 million in Q2 FY26 from $10.8 million in Q2 FY25.

    • Cash and cash equivalents decreased to $7.2 million at quarter-end from $31.4 million at year-end 2025 due to seasonal working capital usage and strategic investments.

    • European commitments for two Super Scoopers came later than expected, though demand in the U.S. has offset this.

    Guidance & targets

    4
    CategoryTargetConfidence
    Full-year 2026 Revenue
    $135 million to $145 million
    high materiality
    High
    Full-year 2026 Adjusted EBITDA
    $55 million to $60 million
    high materiality
    High
    Operating Cash Flow Generation
    improve
    medium materiality
    Medium
    Spanish Super Scoopers Repositioning
    reposition to the U.S.
    medium materiality
    High

    Operational metrics

    15
    Revenue
    $30.5 millionflat YoY
    Q2 FY26

    Revenue was essentially flat compared to the prior year period, but increased 16% year-over-year when excluding the impact of non-recurring return-to-service work on Spanish scoopers.

    Cost of revenues
    $19.2 million
    Q2 FY26

    Increased primarily due to operating costs for increased fleet utilization, fleet expansion, and fleet readiness for peak fire season.

    Selling, General and Administrative Expenses (SG&A)
    $5.3 milliondown from $6.5 million YoY
    Q2 FY26

    Year-over-year decline driven by lower non-cash expenses.

    Interest expense
    $6.6 millionup from $5.7 million YoY
    Q2 FY26

    Increased due to additional borrowings for fleet expansion and short-term needs.

    Net loss
    $0.5 millionvs net income of $0.3 million YoY
    Q2 FY26
    Loss attributable to common stockholders
    $7.6 millionvs $6.3 million YoY
    Q2 FY26

    Includes the impact of the adjustment to the redemption value of Series A preferred stock.

    Adjusted EBITDA
    $8.1 milliondown from $10.8 million YoY
    Q2 FY26

    Reconciliation to net income is included in Exhibit A of the earnings release.

    Cash and cash equivalents
    $7.2 milliondown from $31.4 million at year-end 2025
    Q2 FY26

    Decrease primarily reflects seasonal working capital usage and strategic investments.

    Credit facility remaining availability
    $75 million
    Q2 FY26

    Maintains significant financial flexibility through its credit facility, designed to support future fleet expansion.

    U.S. acres burned
    5.5 million
    YTD

    More than 5.5 million acres burned across the U.S. as of early August, indicating high wildfire activity.

    National preparedness level
    Five
    Q2 FY26

    Current preparedness level indicating fully committed firefighting resources.

    Surveillance aircraft on multi-year guaranteed commitments
    8 of 9
    Current

    Reflects a strategic focus on securing longer-term contracts.

    U.S. Super Scoopers on 160-day guaranteed orders
    4 of 6
    Current

    These are the longest guaranteed task orders in Bridger's history, improving fleet utilization.

    King Air 350 deployment
    —
    Q2 FY26

    Deployed the most advanced platform, the King Air 350, under a Department of the Interior task order, providing real-time situational awareness.

    Fuel cost exposure
    —
    Q2 FY26

    Fuel expense is largely a pass-through cost, with limited impact on on-contract flying, but affects support areas.

    Orderbook & backlog

    2
    U.S. Forest Service Super Scooper Task OrdersTwo 160-day task orders for four Super ScoopersQ2 FY26

    Activate on a staggered basis into October and November, reflecting anticipated need into Q4; longest guaranteed task orders in Bridger's history.

    Texas A&M King Air 360 Contract$58 millionShortly after Q2 FY26

    Delivery of three aircraft starts in 2028, with milestones recognized over the next three years, mostly starting in 2027.

    Deals & partnerships

    3
    Texas A&M Forest ServiceAcquire, modify, and deliver three King Air 360 multi-mission aircraft.$58 millionOver the next three years

    Bridger selected to help design and deliver capability for Texas's state wildfire aviation program.

    DaVinci'sDeploying two newest Super Scoopers in Portugal.Shorter than planned summer fire season

    Collaboration with Europe's leading provider of emergency aerial services to support Europe's demanding fire season; aircraft leased to Avinci's to operate.

    TRAC+Integrating real-time aircraft tracking, mission information, and aero suppression intelligence into IGNIS.

    Strategic partnership to expand IGNIS technology.

    Capital programs

    1
    Texas A&M King Air 360 Acquisition & Modificationannounced$58 million
    Period spend: Majority of work not until 2027; may place orders for King Airs and receive some cash payments in 2026
    Start: End of 2026

    Benefit: Helps Texas build one of the nation's most advanced state wildfire aviation programs; new avenue of non-seasonal long-term growth for Bridger

    Contract to acquire, modify, and deliver three King Air 360 multi-mission aircraft for Texas A&M Forest Service.

    Risks & headwinds

    3
    European contract delaysQ2 FY26

    Not quantified in dollars, but impacted Q2 internal estimates.

    Mitigation: Strong U.S. demand has more than offset; plan to reposition aircraft to U.S. for higher value opportunities.

    Seasonal working capital usageQ2 FY26

    Cash decreased from $31.4 million (year-end 2025) to $7.2 million (Q2 FY26).

    Mitigation: Expect cash generation to improve as fire season progresses and receivables convert to cash; significant financial flexibility through credit facility.

    Increased operating costs for fleet expansion and utilizationQ2 FY26

    Cost of revenues increased 32% (excluding non-recurring work) to $19.2 million in Q2 FY26.

    Mitigation: Part of scaling the business to meet demand; expected to contribute to growth and margin expansion over time.

    What to watch in Q3 FY26

    4

    Repositioning of European Super Scoopers

    After European fire season (likely Q4 FY26)
    CurrentTwo Super Scoopers deployed in Portugal for a shorter-than-planned summer fire season.
    TargetRepositioned to the U.S. for higher value opportunities.

    Why it matters

    This move could significantly impact fleet utilization and revenue generation in the U.S. market, especially if U.S. demand remains strong.

    As Sam mentioned, our two Spanish scoopers are flying a shorter than planned summer fire season in Europe, after which we intend to reposition these aircraft to the U.S. for higher value opportunities.

    Q&A highlights

    5

    Inquired about the status of European negotiations given the severe wildfire season and if the planes would be moved to the USA in October if no further progress.

    Management confirmed the late pickup in Europe indicates hesitancy for private operators. While talks with European countries may continue, Bridger plans to move the two Super Scoopers to the U.S. after their Portugal lease due to strong U.S. demand and economics, unless a comparable commitment materializes overseas.

    “But for Bridger's internal purposes, we're planning on a move to the U.S., Without that commitment with the economics and demand we see here.”

    asked by Austin Muller · answered by Sam Davis

    2 min read6 chapters

    Detailed Narrative

    01

    Strong Wildfire Season & Operational Readiness

    The U.S. is currently at preparedness level five, the highest national scale, indicating fully committed firefighting resources, with over 5.5 million acres burned as of early August. Europe is also experiencing one of its most severe wildfire seasons in years. Bridger's fleet, technology, and personnel were fully prepared for an active wildfire year, translating into strong execution and a fully engaged fleet, with demand expected to remain strong through the remainder of the season.

    02

    Strategic Contract Wins & Fleet Utilization

    The U.S. Forest Service awarded Bridger two 160-day task orders covering four Super Scoopers, marking the longest guaranteed orders in the company's history. These orders will activate on a staggered basis into October and November, reflecting anticipated needs well into Q4. This shift towards longer contract durations is considered the new norm, improving fleet utilization, operational visibility, and maintenance/staffing planning, and leading to higher flight hours.

    03

    Diversification into Engineering & Intelligence

    Bridger secured a $58 million contract with the Texas A&M Forest Service to acquire, modify, and deliver three King Air 360 multi-mission aircraft over the next three years. This contract exemplifies the company's opportunity beyond simply operating aircraft, extending into engineering, modification, and integrated intelligence work. It represents an attractive new avenue for non-seasonal, long-term growth, with revenue recognition primarily starting in 2027.

    04

    Technological Advancement with IGNIS

    During the quarter, Bridger expanded its IGNIS platform through a strategic partnership with TRAC+, integrating real-time aircraft tracking, mission information, and aero suppression intelligence into a unified operating picture. This development reinforces Bridger's conviction that software and data will become an increasingly valuable component, complementing its aviation assets and evolving the company into a solution provider combining aerial suppression, airborne intelligence, engineering expertise, and software.

    05

    Financial Infrastructure & Growth Support

    CFO Anne Hayes is focused on building and strengthening the finance function to support anticipated growth, especially with new programs and fleets. The company ended the quarter with $7.2 million in cash and cash equivalents, down due to seasonal working capital usage and strategic investments. However, Bridger maintains significant financial flexibility with $75 million of remaining availability under its credit facility, designed to support future fleet expansion.

    06

    European Market Dynamics & Repositioning Strategy

    Commitments for two Super Scoopers deployed in Portugal came later than expected, reflecting Europe's more cautious approach to long-term contracts with private operators. Despite this, strong demand in the U.S. has more than offset the European delays. Bridger plans to reposition these two aircraft to the U.S. for higher value opportunities after the European fire season concludes, unless comparable economic commitments materialize overseas.

    AI-generated summary of the company’s earnings call. Not investment advice.