Like other pets, my Skarakeet's level always matches whatever pirate he's equipped on. It looks like his stats are going up as I level, and his health has definitely gone up over time, but now (at level 20) his attacks are still doing the tiny damage he's done since day one. Eyeball estimates - what I've seen & remember without writing everything down - he's doing about 45 damage on a good critical, more like 20 to 25 on an average hit.
Ratbeard & Blind Mew, could you guys please check the fight logs where Skarakeet pets are involved and see if it's just my imagination or if their attacks are actually under-powered for their level? I love having a flying pet for ship-to-ship battles as he can just fly around the boarding planks, but he really needs to step up his game or he'll get left behind.
Pets are not companions, their attacks wont be that powerful. They are helpful and do some damage and even the Skarakeets get a second chance to hit if they miss, but they are no substitute for a great companion!