UP Q1 2024 Earnings

Call Details

• Call Title: Wheels Up Q1 2024 Earnings Call
• Date: May 9, 2024 at 2:00 PM UTC
• Management Team:
  • Keith Ferguson (Head of Investor Relations)
  • George Mattson (Chief Executive Officer)
  • Todd Smith (Chief Financial Officer)

Call Summary

Financial Performance

• Revenue was $197M for the quarter, which represents a reduction of 44% year-over-year.
• Total private jet flight transaction value was down 26% year-over-year while reported GAAP flight revenue was described as down 35% year-over-year.
• Total charter flight transaction value (FTV) was up 25% year-over-year and accounted for 54% of total FTV in the quarter.
• Total private jet FTV per live flight leg was $16,315 and was down 3% year-over-year.
• Adjusted contribution margin was 1% for the quarter, reported on a non-GAAP basis.
• Adjusted EBITDA loss was $49M for the quarter and was flat year-over-year, reported on a non-GAAP basis.
• GAAP net loss was $97M for the quarter, which was described as slightly improved year-over-year.
• Prepaid blocks were $114M for the quarter and were up 14% year-over-year.

Guidance

• The company expects to achieve positive adjusted EBITDA later this year and frames that as a corporate objective.
• The company expects financial benefits from operational changes to become more apparent through the remainder of the year.
• The company expects to optimize fleet size and consolidate maintenance operations at the new Palm Beach International Airport facility later this year.
• The company expects to increase flight revenue through the remainder of the year as programmatic demand recovers and commercial integration efforts accelerate.
• No quantitative quarterly or full-year GAAP/non-GAAP revenue or EBITDA guidance ranges were provided on the call.