Flybe saw improved carryings during the summer with a 13% increase in passenger revenue for the three months to September.
Passenger numbers were up by 10.7% year-on-year to 2.4 million as capacity increased by 13.8% to 3 million seats.
However, the load factor declined by 2.2 percentage points to 78.3%, the regional airline reported in a trading update.
Chief executive Saad Hammad said: “Flybe’s turnaround continues, with our third successive quarter of revenue, capacity and passenger number growth, against the very competitive market provided by other airlines and road, rail and ferry services.
“In our second year of transformation, Flybe’s performance in its core business is on track.”
He added that the carrier was “determined” to finish redeploying its surplus Embraer E195 regional jet aircraft.
The airline is to report half year results on November 11.