Flyexclusive reports Q3 results; highlights contribution from volato deal

Home
»
Stories
»
2024
»
November

GLOBAL INDUSTRY NEWS

Global Industry News

Flyexclusive reports Q3 results; highlights contribution from volato deal

Policy

Simple Flying | Simple Flying

By Sky Industry News

Nov 18, 2024

On November 14th, flyExclusive, a major private jet provider in the United States, announced its financial results for the third quarter of 2024. The company reported a revenue of over $76 million, marking an increase of $14 million compared to the same period last year when it recorded $62 million. Despite this growth in revenue, flyExclusive reported a net loss of approximately $24 million, which was slightly higher than the previous year's third-quarter loss.

A notable factor contributing to flyExclusive's financial performance was a deal with Volato earlier this year. This agreement involved acquiring Volato's fleet and converting many Volato customers to flyExclusive's ticketing system. The transaction added over $600,000 to flyExclusive's bottom line.

In terms of profitability metrics, flyExclusive reported an adjusted EBITDA loss of about $10 million for the third quarter. This reflects an improvement from losses in previous quarters—$19 million in the first quarter and $16 million in the second quarter. The company aims to achieve positive adjusted EBITDA by early 2025.

Get the Newsletter

Sign-up to receive weekly round up of news from Sky Industry News

By submitting, you agree to our Privacy Policy and Terms of Service. By providing your phone number you are opting in and consenting to receive recurring SMS/MMS messages, including automated texts, to that number from our short code. Msg & data rates may apply. Reply HELP for help, STOP to end. SMS opt-in will not be sold, rented, or shared.

Jim Segrave, Chairman and CEO of flyExclusive, commented on these developments during an earnings call: "If we continue the same trajectory we have over the first three quarters of 2024 as expected, we will attain positive adjusted EBITDA profit in early 2025. We’ve made substantial strides, including eliminating over half of our non-performing aircraft, restructuring our management team, nearly eliminating reliance on outside consulting services to support public company reporting, enhancing our fleet, taking over Volato’s flight operations and customers, expanding our club and fractional customer base, and optimizing internal operations."

The exclusive deal with Volato allowed flyExclusive to take control of Volato's aircraft management service business segment. This included managing their fleet along with associated revenues and expenses while converting existing Volato customers into members of various flyExclusive programs.

By the time they filed their financial report with the Securities and Exchange Commission (SEC), flyExclusive had successfully converted 178 out of 265 active members from Volato’s fractional ownership programs into its JetClub jet card program—a conversion rate nearing 67%. FlyExclusive had set an early November deadline for these conversions.