Stalled commercial service foretells 2025 net loss at Branson Airport

Stan Field: The airport is working to bring back commercial service.

Visitors to Branson Airport’s website are greeted by a prominent photo and booking information for Sun Country Airlines – but the airport’s only commercial carrier in recent years hasn’t flown to Branson since mid-2024, and there are no plans for its return this year.

That’s according to the airline and recent financial documents filed by Branson Airport with the Municipal Securities Rulemaking Board. The airport, which is owned by Taney County and operated by Branson Airport LLC, is required to submit such disclosures as a condition of the tax-exempt municipal bonds that helped fund its construction.

Branson Airport’s third-quarter financial report, filed March 25 with the MSRB, notes the status of Sun Country.

“Sun Country Airlines completed their flight schedule between Minneapolis/St. Paul and Branson on July 30, 2024,” the report reads. “The airline is not expected to continue this service in 2024 or 2025. The airport continues to work on developing further air service and will announce any such service when it occurs.”

Sun Country Airlines, a subsidiary of Minneapolis-based Sun Country Airlines Holdings Inc. (Nasdaq: SNCY), returned to Branson Airport in August 2023 after previously operating at the airport around the time of its 2009 launch. In August 2024, Springfield Business Journal reported that a future operational decision related to Branson Airport and Sun Country had not yet been made.

A spokesperson for Sun Country confirmed this month that the airline would not return to Branson Airport in 2025.

“We are focused on our cargo expansion this year and have reduced or paused some service to several cities to accommodate that growth,” said the unidentified spokesperson via email.

In an emailed statement, Branson Airport Executive Director Stan Field did not specifically address the lack of Sun Country service this year but noted the airport is working toward offering commercial service again.

“The airport continues to work towards bringing robust commercial air service to our community,” he said.

In the red
The commercial service uncertainty is set against a backdrop of persistent financial struggles at Branson Airport.

The airport’s 2025 budget projection document, also filed March 25 with the MSRB, estimates net revenues after capital expenditures to be in the red this year to the tune of $345,802. Total operating revenues are projected this year at $2.1 million, with expenses expected to exceed $2.4 million. Additionally, zero enplanements are expected this year, compared with projections of 9,230 in 2024 and 3,974 in 2023. Private use of the airport, which continues, according to Field, is not included in the enplanement data.

Through the third quarter last year, the airport had a $2.9 million net loss when factoring in depreciation and amortization and interest expense. Revenue was reported in the nine-month period at nearly $2.6 million and expenses at $1.8 million. Fourth-quarter data has not been reported with the MSRB.

Branson Airport’s liabilities totaled $75.3 million as of Sept. 30, 2024, with assets reported at $64.4 million. Within those liabilities, accrued interest stands at $1.4 million.

Comparatively, the oldest data available with the MSRB points to $71.5 million in liabilities and $82.1 million in assets at Branson Airport as of March 31, 2019. At that time, accrued interest was $93,490.

Organizers secured hundreds of millions of dollars’ worth of bonds leading up to the airport’s opening, and in 2023 missed a bond payment after a 2018 settlement resulted in new bonds for Branson Airport, SBJ previously reported. The default status appears to be unchanged, with no other payment delinquency filings made with the MSRB.

Money coming in
While commercial service via Sun Country isn’t a contributor this year, money is still flowing into Branson Airport.

Field, the airport director, said the organization is preparing to host the U.S. Navy Blue Angels at the Branson Wings of Pride Air Show over Labor Day weekend. Ticket prices are listed on the Branson Wings of Pride website at $55 for adults, $15 for teenagers and $8 for children for the Aug. 30-Sept. 1 event.

Branson Airport’s best two months of 2025 are projected in August and September, according to the annual budget projection document filed with the MSRB. Operating revenues are projected at $259,500 and $296,500 in August and September, respectively, topping the next highest projection of $237,500 for May. The lowest operating revenue month of the year is projected at $50,200 in January.

The bulk of revenue for 2024, $1.7 million of the $2.1 million projection, is listed under “other revenues” in the budget document.

The third-quarter 2024 report shows Branson Airport LLC has three subsidiaries: BKG Branson Airport LLC, which covers revenue related to commercial aviation service and the Airport Diner; Branson JetCenter LLC, the operator of all general aviation activities; and Branson Land LLC, which owns real property attached to the airport and FlyBranson Travel LLC.

The BKG portion of the 2025 budget projection document points to expected revenue of $181,500 for the year.

Much of the airport’s current revenue appears to come from its role as a fixed-base operator. FBO services at the airport include fuel, in-flight catering, hangar spaces and deicing services, according to its website.

“Branson Airport owns and operates the FBO at the airport,” Field said. “We do serve a significant number of private aircraft travelers choosing to come to the Branson area for tourism and business opportunities.”

The airport is good for business as a whole in Branson, according to a statement provided to SBJ by Branson/Lakes Area Chamber of Commerce & Convention and Visitors Bureau President and CEO Pamela Yancey.

“The Branson Airport is a vital asset to our destination, welcoming hundreds of private aircraft each year,” the statement reads. “Many of these visitors come to experience the Branson/Lakes area’s world-class golf courses, live entertainment, lakes, shopping and attractions. Beyond tourism, having a local airport also creates opportunities for infrastructure growth, business expansion and broader economic development.”

The 2025 budget document states that the airport may receive Federal Aviation Administration grant funds this year to cover costs related to an airport master plan and legal expenses.

If those funds are secured, it wouldn’t be the first time Branson Airport has received federal government assistance.

In 2022, the airport received a $500,000 Small Community Air Service Development Program grant from the U.S. Department of Transportation to support commercial service, with officials noting community matching funds of $400,000 were required, according to past reporting.