April 23, 2024
As it prepares for its SPAC-merger IPO, the Kinston, North Carolina-based private jet operator showed a 54% jump in revenues last year.
FlyExclusive is hoping to fly into the red-hot spotlight of being a publicly traded company with tailwinds from strong growth.
According to its proxy statement, the nation’s fifth-largest operator based on charter and fractional flight hours saw revenue soar.
Revenues rose from $121 million in 2020 to $208 million in 2021 and $320 million last year.
From 2021 to 2022, revenues jumped by 54% after increasing 72% the previous year.
Adjusted EBITDA increased from $12.3 million in 2020 to $12.7 million in 2021 and $28.9 million in 2022.
Of 2022’s revenues, $314 million were from flights, and $3.9 million were from membership fees in its JetClub.
According to the filing, FlyExclusive’s jet card has seen a 90% + renewal rate since the program’s inception.
The filing also shows memberships grew from 155 in 2020 to 411 in 2021, and 723 last year.
Membership totals also include what FlyExclusive refers to partners.
Partners sign long-term triple net leases allowing the operator to use their airplanes in its floating fleet.
The company currently has 7.9 members per aircraft, something executives say give it the capacity to continue adding JetClub jet card members.
While fractional operators sell up to 16 shares per aircraft, it’s estimated that the capacity of jet card flyers to tail is between 20 and 30.
Before launching its jet card program, FlyExclusive was focused on the wholesale market.
In fact, the filing also showed at the end of last year, 30 of its 90 aircraft were dedicated to flying for one provider.
However, Chairman and CEO Jim Segrave tells Private Jet Card Comparisons that the program has been reduced to 15 aircraft.
The company is now focused on wholesale, jet cards, and its new fractional offering.
Segrave reaffirmed the company is on track to consummate the SPAC merger with EQ Acquisition Corp. by late Summer, around August or September.
According to a release, “Under the terms of the Business Combination agreement, the transaction values FlyExclusive at a pre-transaction equity value of $600 million and is expected to provide up to $310 million in proceeds, including $85 million of committed convertible notes and $225 million of EGGF cash in trust assuming no redemptions.”
Editor’s Note: An earlier version had an incorrect percentage for revenue growth from 2021 to 2022.
