Q1 2024 Wheels Up Experience Inc Earnings Call
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Operator: Welcome to the Wheels Up first quarter 2024 webcast. It is my pleasure to introduce Keith Ferguson, CEO of Wheels Up. Keith, you may proceed.
Welcome to the World Gold first quarter 2024 webcast. It is my pleasure to introduce Keith Ferguson with wheels up Keith you May proceed.
Keith Ferguson: Thank you. This morning, we announced our first quarter results. The earnings release with its supporting tables as well as a copy of today's presentation can be found on our investor relations website at wheelsup.com slash investor, please refer to this fiber to address Kramer. Today's presentation includes forward-looking statements based on our current forecasts and expectations of future events. These statements should be considered estimates only, and actual results may differ materially. During today's webcast, we will refer to non-GAAP financial measures as outlined by SEC guidelines.
Keith Ferguson: Thank you.
Keith Ferguson: We announced our first quarter results the earnings release supporting tables as well as a copy of today's presentation can be found on our Investor Relations website at <unk> Dot com slash investors.
Keith Ferguson: Please refer to this hybrid our disclaimer.
Keith Ferguson: Today's presentation contains forward looking statements based on our current forecast and expectations of future events. These statements should be considered estimates only and actual results may differ materially during today's webcast. We will refer to non-GAAP financial measures as outlined by SEC guidelines unless otherwise noted.
Keith Ferguson: Unless otherwise noted, all income statement-related financial measures will be non-GAAP other than revenue. Reconciliations of GAAP to non-GAAP financial measures and definitions of non-GAAP financial measures are found within the financial tables of our earnings release and appendix of today's presentation. With that, I'd like to turn it over to Wheels Up's Chief Executive Officer, George Mattson.
Keith Ferguson: Income statement related financial measures will be non-GAAP other than revenue reconciliations of GAAP to non-GAAP financial measures and definitions of non-GAAP financial measures are found within the financial tables of our earnings release and appendix of today's presentation.
Keith Ferguson: With that I'd like to turn it over to <unk>, Chief Executive Officer, George Mattson.
George Nathaniel Mattson: Thank you, Keith, and thanks to all of you for joining us today. Over the course of the last year, Wheels Up has taken significant steps towards delivering on our commitment to lead the industry in operational excellence while driving efficiency, profitability, and durability across our business model. Last year, we made the decision to publicly disclose details on our operational performance in an effort to provide transparency on our journey to being the best-run private aviation company globally.
George Nathaniel Mattson: Thank you Keith and thanks to all of you for joining us today.
George Nathaniel Mattson: Over the course of the last year. We also have has taken significant steps towards delivering on our commitment to lead the industry in operational excellence, while driving efficiency profitability and durability across our business model.
George Nathaniel Mattson: Last year, we made the decision to publicly disclose details on our operational performance in an effort to provide transparency on our journey to being the best run private aviation company globally.
George Nathaniel Mattson: I'm pleased to report that we've seen continued operational momentum as we enter into what are seasonally strong periods of demand. In the first quarter, both completion rate and on-time performance exceeded our internal goals, coming in at 98% and 87%, respectively.
George Nathaniel Mattson: I am pleased to report that we've seen continued operational momentum as we enter into what our seasonally strong periods of demand.
George Nathaniel Mattson: In the first quarter, both completion rate and on time performance exceeded our internal goals coming in at 98% and 87% respectively.
George Nathaniel Mattson: These results were driven by strong underlying performance improvements within key elements of the operations, including maintenance and dispatch availability of our aircraft under our new operational leadership team. As we deliver on these goals and in keeping with our mindset of continuous improvement, we've begun to focus on an additional internal benchmark we call brand data. A metric created by Delta to recognize operational excellence. A brand day is a day in which we have zero cancellations of any type across our entire controlled fleet.
George Nathaniel Mattson: These results were driven by strong underlying performance improvements within key elements of the operations, including maintenance and dispatch availability of our aircraft under our new operational leadership team.
George Nathaniel Mattson: As we deliver on these goals and in keeping with our mindset of continuous improvement we've begun to focus on an additional internal benchmark we call brand days.
George Nathaniel Mattson: <unk> created by Delta to recognize operational excellence our brand day is a day in which we had zero cancellations of any time across our entire controlled fleet.
George Nathaniel Mattson: I'm proud to report that in Q1, we had 27 brand days, by far the highest in over two years since we started tracking that metric. Operational excellence is a continuous journey, and our team is excited to be delivering for customers every day. These metrics, as well as our previous adjustments and improvements that place the customer at the center of everything we do, have been a guiding focus for all of Wheels Up as we continue our commitment to delivering exceptional service and, in turn, an experience worth repeating, no matter the journey. But they also create crucial efficiencies that are lighting the runway for our strategic goal of driving more focused, profitable growth.
George Nathaniel Mattson: I am proud to report that in Q1, we had 27 brand days by far the highest in over two years since we started tracking that metric.
George Nathaniel Mattson: Operational excellence is a continuous journey and our team is excited to be delivering for customers every day.
George Nathaniel Mattson: These metrics as well as our previous adjustments and improvements that place the customer at the center of everything we do have been a guiding focus for all of wheels up as we continue our commitment to delivering exceptional service and in turn and experience worth repeating no matter the journey.
George Nathaniel Mattson: But they also create crucially efficiencies that are lighter the runway for our strategic goal of driving more focused profitable growth.
George Nathaniel Mattson: Key in our journey to positive adjusted EBITDA is balancing our portfolio across our programmatic and charter service offerings and between leisure and corporate customers. Our charter business, led by our AirPartner platform, is profitable today, making the growth of this business an important contributor to overall profitability. First quarter total charter FTV grew 25% year over year, reflecting increased customer spend on charter services.
George Nathaniel Mattson: Key in our journey to positive adjusted EBITDA is balancing our portfolio across our programmatic and charter service offerings and between leisure and corporate customers.
George Nathaniel Mattson: Our charter business led by our air partner platform is profitable today, making the growth of this business an important contributor to overall profitability.
George Nathaniel Mattson: First quarter total charter FPV grew 25% year over year, reflecting increased customer spend on charter services.
George Nathaniel Mattson: That profitable flying, which is non-guaranteed and based on market-based pricing, represents just over 50% of the value of flights provided for our customers. We're also seeing an improving mix in our corporate business, thanks in part to the continued momentum in our Delta partnership, supported by our strong operational performance. Our private aviation solutions complement Delta's premium commercial offering, providing high-value business customers a choice between commercial and private travel while creating more opportunities for weekday travel to complement the weekend concentration we typically see from our leisure fliers.
George Nathaniel Mattson: That profitable flying which is non guaranteed and based on market based pricing represents just over 50% of the value of flights provided for our customers.
George Nathaniel Mattson: We're also seeing an improving mix in our corporate business. Thanks in part to the continued momentum in our Delta partnership supported by our strong operational performance.
George Nathaniel Mattson: Our private aviation solutions complement delta premium commercial offerings provide a high value business customers a choice between commercial and private travel, while creating more opportunities for weekday travel to complement the weekend concentration, we typically see from our leisure fliers.
George Nathaniel Mattson: This balance is a key component of our financial plan to drive asset utilization and profitability going forward. We've seen progress over the course of the last quarter with our fastest growth in corporate block sales, which exceeded 30% year-over-year. We also saw a 40% year-over-year increase in block purchases over a million dollars. Finally, let me turn to our programmatic office.
George Nathaniel Mattson: This balance is a key component for our financial plan to drive asset utilization and profitability going forward.
George Nathaniel Mattson: We've seen progress over the course of the last quarter with our fastest growth in corporate block sales, which exceeded 30% year over year. We also saw a 40% year over year increase in block purchases over $1 billion.
George Nathaniel Mattson: Finally, let me turn to our programmatic offering.
George Nathaniel Mattson: When we announced the primary service area changes last June, we knew the transition would take some time before it showed up in our results, particularly as we've continued to honor the flying commitments we made to customers who purchased blocks under the previous program rule set. Today, less than 20% of our current blocks are on those legacy rule sets, allowing us to take the next steps to more fully transition and consolidate our controlled fleet flying within that regional footprint. Just a few weeks ago, we announced plans to open a new flagship maintenance facility at Palm Beach International Airport later this year.
George Nathaniel Mattson: When we announced the primary service area of changes last June we knew the transition will take some time before it showed up in our results, particularly as we've continued to honor the flying commitments, we made to customers who purchase blocks on the previous program rule sets today less than 20% of our current blocks are on those <unk>.
George Nathaniel Mattson: <unk> rule sets, allowing us to take the next steps to more fully transition and consolidate our controlled fleet flying within that regional footprint.
George Nathaniel Mattson: Just a few weeks ago, we announced plans to open a new flagship maintenance facility at Palm Beach International Airport later this year.
George Nathaniel Mattson: Todd will provide more details, but that move, along with the closing of underutilized maintenance facilities in Cincinnati, Ohio, and Broomfield, Colorado, represents the next phase in the reallocation of our resources to be appropriately concentrated where our fleet will be flying. Consolidating and increasing the density of our operations improves asset utilization and efficiency, while simultaneously improving response times and service for our customers. While we have made great strides in improving our operational performance and business mix, we have more work to do to increase our programmatic demand.
George Nathaniel Mattson: Todd will provide more details, but that move along with the closing of underutilized maintenance facilities in Cincinnati, Ohio in Broomfield, Colorado represents the next phase and the reallocation of our resources.
George Nathaniel Mattson: Appropriate concentrated where our fleet will be flying.
George Nathaniel Mattson: Solid dating and increasing the density of our operations improves our asset utilization and efficiency, while simultaneously improving response times and service for our customers.
George Nathaniel Mattson: While we have made great strides in improving our operational performance and business mix, we have more work to do to increase our programmatic demand with strong block sales in a heightened focus on profitable demand generation, we expect to see increased flight revenue through the remainder of the year.
George Nathaniel Mattson: With strong block sales and a heightened focus on profitable demand generation, we expect to see increased flight revenue through the remainder of the year. The hiring of our new Chief Commercial Officer, Dave Harvey, and his remit of integrating the key elements of our programmatic commercial engine further advances our mission to build the durable business model our customers and investors expect. With that, I will turn it over to Todd to discuss our financial results. Thanks, George.
George Nathaniel Mattson: The hiring of our new Chief commercial officer, Dave Harvey and his remit of integrating the key elements of our programmatic commercial engine further advances our mission to build a durable business model, our customers and investors expect with that let me turn it over to Todd to discuss our financial results.
Todd: Thanks George.
Todd: <unk> to be with you all today.
Todd Smith: It is great to be with you all today. In my remarks, I will focus on three topics, a review of our first quarter, details on the structural changes that have improved our underlying business, and our plan to achieve positive adjusted EBITDA later this year, starting with a review of our first quarter. Revenue was $197 million for the quarter, which represents a reduction of 44% year-over-year due to the exit of our aircraft management and aircraft sale businesses, the transition of our reduced programmatic flying areas where we are exiting unprofitable flight revenue, and lower industry demand.
George Nathaniel Mattson: For my remarks, I will focus on three topics.
Todd Smith: A review of our first quarter.
Todd Smith: Details on the structural changes that have improved our underlying businesses.
Todd Smith: And our plan to achieve positive adjusted EBITDA later this year.
Todd Smith: Starting with a review of the first quarter.
Todd Smith: Revenue was $197 million for the quarter, which represents a reduction of 44% year over year.
Todd Smith: Due to exiting of our aircraft management and aircraft sale businesses the transition of our reduced programmatic client areas, where we are exiting unprofitable flight revenue and lower industry demand.
Todd Smith: As previously described, since charter revenue is reported on a net rather than a gross basis, we expect our GAAP-reported revenue growth will continue to be weighed down by an increasing mix of charter clients. That is why last quarter, we introduced a new metric, which we call flight transaction value, which reports the full value of what our customers spend on flights with us. Specifically, the first quarter total private jet flight transaction value, which captures the value of all of our private jet flying, was down 26% year over year.
Todd Smith: As previously described since charter revenue is reported on a net rather than a gross basis. We expect our GAAP reported revenue growth will continue to be weighed down by an increasing mix of charter flying.
Todd Smith: That is why last quarter, we introduced a new metric, which we call flight transaction value, which reports the full value of what our customer spend on flights with us.
Todd Smith: Specifically first quarter total private jet flight transaction value, which captures the value of all of our private jet flying was down 26% year over year that is a much less significant reduction than the reported 35% decline in our reported GAAP quite revenue.
Todd Smith: That is a much less significant reduction than the reported 35% decline in our reported gap flight revenue. We believe that total private jet flight transaction value is a more indicative measure of our underlying flying trends and the strength of our charter offer. Consistent with our strategy to grow our charter business, total charter FTV was up 25% year-over-year and accounted for 54% of our total flight transaction value in the quarter. These trends highlight the clear progress we are making in our goals to grow our charter business. Total private jet flight transaction value per live flight leg was $16,315 and was down 3% year-over-year.
Todd Smith: We believe that total private jet flight transaction value is a more indicative measure of our underlying volume trends and the strength of our charter offerings.
Todd Smith: Consistent with our strategy to grow our charter business total charter FTE was up 25% year over year and accounted for 54% of our total flight transaction value in the quarter. These trends highlight the clear progress we are making in our goals to grow our charter business.
Todd Smith: Total private jet flight transaction value per live flight leg was $16315 and down 3% year over year that represent an apples to apples comparison of the spend per flight that we deliver for our customers.
Todd Smith: That represents an apples-to-apples comparison of the spend per flight that we deliver for our customers. As George highlighted, after slower demand in January and February, we saw improvement in our flight volumes in March, which provides momentum for the second quarter. Our adjusted contribution margin was 1% in the quarter, reflecting lower utilization of our fixed assets due to a decline in programmatic volumes as a result of the transitioning of our programmatic offering and industry weekdays.
Todd Smith: As George highlighted after slower demand in January and February we saw improvement in our flight volumes in March which provides momentum for the second quarter. Our adjusted contribution margin was 1% in the quarter, reflecting lower utilization of our fixed assets due to a decline in programmatic volumes as a result.
Todd Smith: The transitioning of our programmatic offering and industry weakness.
Todd Smith: Consistent with demand levels, our March exit rate for adjusted contribution margin was significantly higher than the total quarter. Although our adjusted contribution margin was challenging, we have made substantial progress in reducing our cost of revenue. We have reduced structural costs within our business, and we expect to continue to adjust the size of our controlled fleet to better align with our programmatic offerings. We believe we are well positioned to drive strong incremental margin as we grow our revenue profile over the remainder of the year.
Todd Smith: System with demand levels, our March exit rate for adjusted contribution margin was significantly higher than the total quarter.
Todd Smith: Although our adjusted contribution margin was challenging we have made substantial progress in reducing our cost of revenue we've reduced structural cost within our business and we expect to continue to adjust the size of our controlled fleet to better align with our programmatic offerings.
Todd Smith: We believe we are well positioned to drive strong incremental margin as we grow our revenue profile over the remainder of the year.
Todd Smith: Adjusted EBITDA loss was $49 million for the quarter and flat year-over-year, despite a decrease in revenues of 44%, similar to Adjust the contribution margin, the performance math key structural improvements we have made to the business. We have diligently pruned unnecessary costs, and we are proud of the fact that the business is increasing its performance capability as a leaner and smaller company. Gap's net loss was $97 million for the quarter, slightly improved year over year.
Todd Smith: Adjusted EBITDA loss was $49 million for the quarter and flat year over year. Despite a decrease in revenues up 44%.
Todd Smith: Similar to adjusted contribution margin the performance, Matt key structural improvements we have made to the business. We are diligently pruned unnecessary cost and we are proud of the fact that the business is increasing its performance capability as a leaner and smaller company.
Todd Smith: GAAP net loss was $97 million for the quarter slightly improved year over year.
Todd Smith: Prepaid blocks were $114 million for the quarter. These are normally lower versus Q4, but up 14% year over year. We believe this reflects our improved operating performance and stronger partnership with Delta. As George highlighted, we saw particular strength from corporate customers, with corporate blocks representing the highest percentage of total blocks in our history. This reflects the success of our efforts to increase our exposure in that important customer segment. We ended the quarter with total liquidity plus reserve deposits of $301 million, which includes cash and cash equivalents, the undrawn revolver from Delta, and the $20 million WTC reserve deposit.
Todd Smith: Prepaid blocks were $114 million for the quarter seasonally lower versus Q4, but up 14% year over year. We believe this reflects our improved operating performance and stronger partnership with Delta.
Todd Smith: As George highlighted we saw particular strength from corporate customers with corporate blocks, representing the highest percentage of total blocks in our history.
Todd Smith: This reflects the success of our efforts to increase our exposure in that important customer segment.
Todd Smith: We ended the quarter with total liquidity plus reserve deposits up $301 million, which includes cash and cash equivalents, the undrawn revolver from Delta and the $20 million WTC reserve deposits.
Todd Smith: Although that was down versus the prior year, our cash usage for the quarter was a fraction of the first quarter of 2023 and improved by over 60% year over year. That reflects the increased block performance and improved cash management and working capital initiatives we have executed. Our deferred revenue balance was down 28% year over year to what we believe is a more sustainable level.
Todd Smith: Although that was down versus the prior year, our cash usage for the quarter was a fraction of the first quarter of 2023 and improved by over 60% year over year.
Todd Smith: That reflects the increased block performance and improved cash management and working capital initiatives, we have executed on.
Todd Smith: Our deferred revenue balance was down 28% year over year to what we believe is a more sustainable level.
Todd Smith: We are encouraged by the fact that our deferred revenue addition and usage was the most balanced it has been in the first quarter since 2020. We also continue to divest excess aircraft and use a portion of the proceeds from those sales to pay down $16 million of our long-term debt. Next, I want to provide additional color on the structural changes that we have made to our business and how those initiatives position us for long-term profitability and success.
Todd Smith: We are encouraged by the fact that our deferred revenue addition, and usage was the most balanced and has been in the first quarter since 2020.
Todd Smith: We also continued to divest excess aircraft and used a portion of the proceeds from those sales to pay down $16 million of our long term debt.
Todd Smith: Next I want to provide additional color on the structural changes that we've made to our business and how those initiatives position us for long term profitability and success.
Todd Smith: Last June, we took the difficult but necessary step to overhaul our programmatic offering to focus our controlled fleet on primary service areas where we had a network density advantage. We knew that transition would be challenging and take some time to show up in our numbers as we honored previous commitments to fly anywhere in the country.
Todd Smith: Last June we took the difficult but necessary step to overhaul our programmatic offering to focus our controlled fleet on primary service areas, where we had a network density advantage, we knew that transition would be challenging and takes some time to show up in our numbers as we honored previous commitments to fly.
Todd Smith: Anywhere in the country.
Todd Smith: Today, less than 20% of our current block balance is on those legacy pre-June 2023 rules, allowing us to take the next steps to more fully transition and consolidate our controlled fleet flying within our regional footprint. We have made a lot of progress in overhauling the mix of our business. We have been successful in our efforts to increase our mix of profitable charter flying, much of which is fulfilled on an asset light and capital efficient basis.
Todd Smith: Today less than 20% of our current block balances are on those legacy pre June 2023 rule sets, allowing us to take the next steps to more fully transition and consolidate our controlled fleet flying within our regional footprint.
Todd Smith: We have made a lot of progress and overhauling the mix of our business we.
Todd Smith: We have been successful in our efforts to increase our mix of profitable charter flying much of which is fulfilled on an asset light and capital efficient basis.
Todd Smith: As George touched on, we are seeing growing momentum with our corporate initiative. Securing a higher mix of corporate blocks is a crucial step in balancing our flying over the days of the week, creating significantly more opportunities for weekday travel to complement the weekend concentration we typically see from our leisure flyers.
Todd Smith: As George touched on we are seeing growing momentum with our corporate initiatives securing a higher mix of corporate blocks is a crucial step in balancing our flying over the days of the week, creating significantly more opportunities for weekday travel to complement the weekend concentration, we typically see from our lease.
Todd Smith: Your fliers.
Todd Smith: This balance is a key component of our financial plan to drive asset utilization and deliver higher incremental margins going forward. As we just announced a few weeks ago, a key next step operationally is to open a new flagship maintenance facility at Palm Beach International Airport later this year. That move, along with the closing of underutilized maintenance facilities in Cincinnati, Ohio, and Broomfield, Colorado, is a crucial step in the reallocation of our maintenance capabilities to be appropriately concentrated where our fleet will be flying.
Todd Smith: This balance is a key component of our financial plan to drive asset utilization and deliver higher incremental margins going forward.
Todd Smith: As we just announced a few weeks ago. A key next step operationally is to open a new flagship maintenance facility at Palm Beach International Airport later this year.
Todd Smith: That move along with the closing of underutilized maintenance facilities in Cincinnati, Ohio, and Broomfield, Colorado is a crucial step in the reallocation of our maintenance capabilities to be appropriately concentrated where our fleet will be flying.
Todd Smith: We were also pleased to partner with Theme Aero and Avex Aviation to offer a career path for our affected employees. Those actions, combined with the completion of our certificate consolidation and further right-sizing of our fleet, should allow us to significantly increase our asset utilization and efficiency with faster response times and improved service for our customers. So now let me walk through how those actions we have taken and are in the process of taking position us to achieve positive adjusted EBITDA later this year.
Todd Smith: We were also pleased to partner with theme Arrow.
Todd Smith: Apex aviation to offer a career path for our affected employees.
Todd Smith: Those actions combined with the completion of our certificate consolidation and further right sizing of our fleet.
Todd Smith: Allow us to significantly increase our asset utilization and efficiency with faster response times and improved service for our customers to.
Todd Smith: So now let me walk through how those actions we have taken and are in the process of taking position us to achieve positive adjusted EBITDA later this year.
Todd Smith: As George highlighted, our operations are performing better than ever with strong customer service metrics. Those results are the first proof point that our initiatives are working, as they are the direct result of actions taken by our management team to consolidate our operations in our member operations center, increase our aircraft maintenance availability by over 10% year-over-year, work with the FAA to combine our certificates and reduce complexity in our operations, and execute on an overhaul of our program changes that position the company for long-term success. Admittedly, to date, those actions have been more customer Focusing on customers is the first step to building a strong and sustainable business.
Todd Smith: As George highlighted our operations are performing better than ever with strong customer service metrics. Those results of the first proof point that our initiatives are working as they are the direct result of actions taken by our management team to consolidate our operations and our member Operation Center increased our aircraft maintenance availability.
Todd Smith: By over 10% year over year.
Todd Smith: Work with the FAA to combine our certificates and reduce complexity in our operations and execute on an overhaul of our program changes that position the company for long term success.
Todd Smith: Admittedly to date those actions have been more customer centric.
Todd Smith: <unk> on customers as the first step to building a strong and sustainable business. We believe the flying experience with wheels up today is significantly better than it was a few years ago and even a few months ago and we are committed to continuing that improvement journey.
Todd Smith: We believe the flying experience with Wheels Up today is significantly better than it was a few years ago and even a few months ago, and we are committed to continuing that improvement journey. We anticipate that financial benefits will become more apparent through the remainder of the year. We expect to take further steps to optimize our fleet size to match demand in our network, consolidate our maintenance operations in our new facility at PBI, and see benefits from improved revenue and schedule management efforts that will allow us to shape demand in off-peak periods. In addition, our new Chief Commercial Officer will continue our efforts to better integrate our commercial marketing and revenue management activities to help us maximize profitable revenue growth and utility.
Todd Smith: We anticipate the financial benefits will become more apparent through the remainder of the year, we expect to take further steps to optimize our fleet size to match demand in our network consolidate our maintenance operations in our new facility at PEGI.
Todd Smith: <unk> benefits from improved revenue and schedule management efforts that will allow us to shape demand in off peak periods in.
Todd Smith: In addition, our new Chief commercial officer will continue our efforts to better integrate our commercial marketing and revenue management activities to help us maximize profitable revenue growth and utility.
George Nathaniel Mattson: Lastly, we are pleased with our capital position and thankful for our deep partnership with Delta and the resources they have provided us. Delta shares our optimism in the opportunity ahead of us as we execute on our goal to seamlessly integrate travel across private and premium commercial aviation. With that, I now turn it back to George for his concluding remarks. Thanks, Todd.
Todd Smith: Lastly, we are pleased with our capital position and our thankful for our deep partnership with Delta and the resources they have provided us.
George Nathaniel Mattson: Also shares our optimism and the opportunity ahead of us as we execute on our goal to seamlessly integrate travel across private and premium commercial aviation.
George Nathaniel Mattson: With that let me now turn it back to George for his concluding remarks.
George: Thanks, Todd to.
George Nathaniel Mattson: To summarize, we remain committed to becoming the best-run and most reliable private aviation company in the world while building a strong and durable business. We have made a great deal of progress over the past year to fortify the foundation of our business. Progress, which we expect will translate to significantly improved financial performance through the remainder of the year. As we have described, we are building something new and innovative, an integrated offering of seamless global solutions spanning premium commercial and private aviation, through a strategic partnership with Delta.
George: To summarize we remain committed to becoming the best run and most reliable private aviation company in the world, while building a strong and durable business.
George Nathaniel Mattson: We have made a great deal of progress over the past year to fortify the foundation of our business progress, we expect will translate to significantly improve financial performance through the remainder of the year.
George Nathaniel Mattson: As we have described we are building something new and innovative and integrated offering of seamless global solutions spanning premium commercial and private aviation through a strategic partnership with Delta.
George Nathaniel Mattson: To borrow the words of Ed Bastian, we're just getting started, and I couldn't agree more and be more excited about the opportunity ahead of us. Before I close, I want to thank our extremely talented team of aviation experts for their strength, commitment, and passion for the company, which is evident every day in the work and dedication to delivering an always safe and exceptional flight experience for our members and customers. I also want to thank our members and customers for their continued loyalty. I look forward to leading our exceptional team in delivering an experience worth repeating to you every day. Thank you for your interest.
George Nathaniel Mattson: To borrow the words of Ed Bastian.
George Nathaniel Mattson: Just getting started and I couldnt agree more and be more excited about the opportunity ahead of us.
George Nathaniel Mattson: Before I close I want to thank our extremely talented team of aviation experts for their strength commitment and passion to the company, which is evident every day and the work and dedication to delivering for our members and customers and always safe and exceptional flight experience.
George Nathaniel Mattson: I also want to thank our members and customers for their continued loyalty I look forward to leading our exceptional team in delivering an experience worth repeating to you every day. Thank you for your interest.
Operator: And that concludes the Wheels Up First Quarter 2024 webcast. Thank you for your participation, and enjoy the rest of your day.
Speaker Change: That concludes the <unk> first quarter 2000 square foot webcast. Thank you for your participation and enjoy the rest of your day.