Island Air spent much of 2013 changing its image and upgrading services at the Honolulu Airport commuter terminal.
The small regional carrier is still waiting for its financial results to show similar progress.
Island Air lost $4.9 million in the October-December period to mark its third straight losing quarter under new billionaire owner Larry Ellison, according to data released Monday by the U.S. Department of Transportation.
The airline’s $6.8 million in revenue during the final three months of the year also was the lowest of any full quarter since Ellison purchased the struggling carrier on Feb. 26, 2013.
Island Air ended the year with a loss of $3 million that would have been greater if not for $7.4 million in nonoperating income that the carrier received in the first quarter. Its revenue for the year was $26.9 million.
Operating expenses of $9.4 million during the October-December period were the highest of any quarter and totaled $34.5 million for the year.
Chief Executive Officer Paul Casey, hired just over a year ago, declined to comment because the company is privately owned.
Island AIR is now required to report its financial data to the DOT because it has at least one aircraft with more than 60 passenger seats. The airline began flying 64-seat ATR-72 turboprops in February.
Year-earlier comparisons are unavailable because the airline was not required to report its financial data in 2012.
Island Air’s fourth-quarter loss followed losses of $1.8 million and $1.9 million in the second and third quarters. The airline had a first-quarter profit of $5.6 million because of the nonoperating income. Casey declined to explain the source of that income.
Casey has been restructuring the airline since taking over on May 1, 2013, and said last week that Island Air was "essentially a startup" when he was hired. He is bringing in new aircraft, and in March the airline announced it had a firm order to buy two 71-seat Q400 NextGen turboprop aircraft in November and December that together are valued at $60.9 million.
Island Air also has an option to purchase four more Q400s that could increase the value of the six-aircraft deal to $188 million.
The airline has been seeking to remake its image partly to cater to those passengers visiting Lanai, which is 98 percent owned by Ellison.
