JET.NE - Earnings call transcript Q3 2022 | Global Crossing Airlines Group Inc.

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Grant Howard

Well, good afternoon gentlemen.

First, I wanted to congratulate you and the team on an exceptional quarter and you are going to get into all the details, but it’s quite monumental, where you look – where you look at where you were just a year ago in the quarter, you just completed September 30. It’s exceptional growth. And with that, I am going to introduce Ed Wegel, who is the CEO of Global Crossing Airlines and Ryan Goepel, CFO and Executive Vice President of Global with this third quarter update. And with that, gentlemen, I am going to turn it over to you.

Ed Wegel

Great. afternoon good and Grant everyone. Thanks, some us Thanks coming update at up. QX events and quarter this our for our we earnings got quarter look joining on preliminary and third at other for a have the of fourth that look

ago said, fourth year full operations. we Grant quarter forecast a we quarter. profitable had of We As would projected be had good a that our by

fact our The fourth of third is quarter of full in XXXX operations. quarter

quarter, very only – Our first a short X quarter about first was weeks.

we reached profitability in – hit we revenue world million So third that year the projected fourth quarter go well, the as had Omicron projected projected XXXX. us $XX of had next before can issues our hit had at and operations, the have beginning other for of but quarter the slide, we entire of of XXXX. you very to We some

$XX We revenues base case that of of million are plus. reaffirming

$XX.X We million at are X through months. the

we third least at revenues million. was in quarter, achieved equaling expect $XX which We what the

that very million probably $XX million, to So, closer we $XX reach or we the will $XX year. for feel confident

we we to put fair good feel That that that. the AXXXs case that market. and of So, share in U.S. model business and about business AXXXs charter this work our our in validates market very can gain

Our revenue for the quarter was $XX.X million.

was Our before taxes, million. $X about amortization EBITDA, earnings and is which depreciation interest

their levels us aircraft, of across lease Our some the playing airplanes of is the our all airlines expense which as a the some mix. and some their own which we EBITDAR, also like airlines have out at U.S., taking field, all for airplanes, look airlines rent

we $X for million the EBITDAR and to ratio us an So use to airlines, quarter. compare other that’s

million. are interest $Xmillion, really to number $X for net and EBITDAR our us. we down very expense really income our at know then a $X amortization about had EBITDA operating we didn’t strong was million the that XXX,XXX, that’s So, we depreciation, focused and brought $XXX,XXX, on about and and which income is again at EBITDA number but

quarter getting profitability. profitability fully So in and this to the aircraft that to a us of get reached us this quarter. for certificate is operating, online metric which important this We good is terms crewed was so X in for the on

forward, So quarter least to project moving revenue, we in again, quarter equal we anticipate, at – four. three

In now, we reaffirming our fact, number, plus for of the we case $XX probably beat will year. but that for million are

some turn to of So I into on will over the QX. with that that, let’s And go specifics Ryan.

Ryan Goepel

is to compare difference So, one between the I highlight QX of or and things of wanted kind the QX.

not. which we to that in are continue go travel add dynamic in continue point in we as revenue, the – we model see fully is to see for to drive But we maintenance, increase And you when will aircraft But will reasons benchmark we aircraft crewed, and the that’s was the as in quarter they items us go This continue results we’ve the increase to clearly at from of QX built to as will functional, rent, continue look the look will or One look this notice that stay was handling had land and drive had up as add we key Fuel and do we you really more. as when home when works go XXXX. more in how pretty demonstrates Ground be insurance flat. salaries, a our aircraft to certain the up up certain drive we will which validates the returns. achieved it it and to first you revenue. in excited X the see fully results we want how about at a you significant What places. expect with always to you will is this items fly get quarter-to-quarter, profitability. at really you revenue said we

just is conceptualize to even an I it’s grown. of call increase done. of what graphic have we is where in slide. fast sometimes last when know a we representation Next we for were how we This and did This year this XXX% hard QX quarter-over-quarter. myself, have

was said, volume does year the quarter, demonstrate customer drive our to QX stub and Ed ability last it but As a growth.

will is passenger almost fleets our $X.X a the of side that to generating aircraft per note in from important going to with this we trend entity, and revenue forward look continue you year through per the aircraft this million how aircraft kind low slide, in we on add and in fleet, as to we for revenue we grown as around metric look Ed continue $XXX,XXX last QX has are are and the next to the cover to aircraft in of QX think much think future expect to as which to a we I which average where it’s at to work. the try per year we put you key that’s

I the Ed it on to growth, at will really pass Looking quick. fleet

Ed Wegel

So, we then through the will quarter continue into fourth XXXX. growth our and

this freighters We freighter take will two aircraft quarter. AXXX

week certificate November. third one our be of The first should by online the on

later for are shops coming mid on in part conversion the The before, revenue are December. about our will MRO had we but these second of we be at as point out the certificate little we have online These and the talked projected sometime than now generating airplanes freighter should where of us. generating revenue delays start

FAA efforts approvals. certification our up finalizing FAA and finishing with and DoT the are We

conformity mid-November then should of and in service. for aircraft here be paint into out first The

end a the bringing XX airplanes we had to portion XXXX. XXXX. talked are in into that contracts XXXX a our these putting on, of they aircraft XXX place. being going and Again, the will put We the because always we a drive So are we our large excited our the at can very airline into drive portion number big of of about that growth growth hours are freighters about of cargo on aircraft of

see you we up anticipate freighter can So, you passenger And aircraft. built we here, that’s XX there. getting how aircraft, have as XX for

of at aircraft, will X end have we we So, have X now. the XXXX, passenger

We basis, are AXXX exceptional that booked, almost that seats XXX passenger a and exceptional which aircraft is by a already AXXX and very economics of the because of And has rate the with aircraft. an for on an been for pure fully economics we an power taking hour us. deal airplane taking us then are at lease

aircraft and quarter we has of second AXXX a another agreed been Wi-Fi and full So that AXXX for for aircraft freighter at the end year, AXXX will on cargo X customer for total VIP of coming the XX, take with another another next of with of a booked and X passenger already we balance the aircraft first freighter, the aircraft, a terms out year, of this in today year. Alaska

So cargo at XXXX, another project and we X aircraft X the XX. end that passenger passenger XX X cargo grows we and anticipate aircraft of the to aircraft, XX XX to another by aircraft. will to passenger XX And XXXX, end of have by cargo, XX then

the side. we airplanes on cargo are them XXXX. So up the have Certainly, lined meet these goals. will track XXXX, we meet for on to been

certificate. AXXXs looking on aircraft those for the and are identifying our of X half We in don’t We getting XXXX. second anticipate them problem for still any

got have growth. good we So

We base. have growth our client in got good

good the that the got number of good client block clients we We in within have categories them. growth the growth hours each service, that for number we of of of fly

well with business. charter being a reputation and are on-time for are Wi-Fi, airline, our The equipped. in with them we of reliable the them are than an We are great modern getting of and of more interiors share AXXXs, some developing aircraft, fair shape all

very, in growth our pleased to ability the are we to So where fleet on and hours very we our those aircraft. sell are

operations, Profitability let’s So, of quarter profitability. we so key first have in achievements. our full about X four quarter of a that last some three as within stub reached look at quarters, we of was talk the XXXX year

in have debt. million We $X

we the do are charter plus in in, What to we fly we We needed environment points with about well that we will look on base a are colleges of recession today, continue. of a are military a charter within Domingo that we get one X And division based as that U.S. will fly being you XXXX So whether and as freighter we and look are are will government flying. certified at are we sports their are teams, X parameters to do those in aircraft, we at those our equity or recession. will that Cuba, lot we and recession trying to on get recession. from proof proof think well, XX% us I and we our in anticipate those the that fly, flights when largely aircraft XX as amount is that that of of very what another a do as know have has proof. we recession days flying of enter the a those more are to Department other economic especially told know current how in proves frugal that AXXX. estimate the to we Caribbean to clients we who focused and expert not, there but in the Defense now. recession money debt, XX are is or raised, and flights Santa lot Obviously, very to We coming and continue uncertainty profitability Every fly where flights we spend of we prudent fly capital to clientele, about to flights we universities,

going about very feel we good So, base XXXX. into business our

have have and profitability. weathered Omicron about of our we what sense other achieve. with look gotten to been forward We of issues, to all COVID first optimism pilots, business our Given XXXX which through we through a year and can great what we

by are and cargo aircraft as we will in first that mid-November, will week November, month. of by said I we so start fourth Miami here working service into be I flying hard very revenue to this put the revenue Our

it. third be will here aircraft, said sometime to aircraft depending the sign I as about late by some contracted. but the been XXX upon ready our will freighter be Second contract will and on that operating a conversion, minute and here Miami last third And mid-December, February in That has well in certainly as Christmas. aircraft second adjustments has that be aircraft aircraft

five year. we are January So, place with contracts the those contracts. anticipate on of we by aircraft first booked, fully XXXX, of end all February aircraft in diligently next of very service to And being able the long-term are three beginning in next working aircraft of

our diversifies both passenger business streams our optimistic with growth about So, also cargo business we are into cargo and and passenger. along revenue drives our very that our

good quarter. the balance year. look and a And had So, February. this sometime results We are We forward look those fourth quarter those our forward achievements. we in of the through reporting to early

I to So with questions. back are Grant, we for will and you ready it that, turn

Grant Howard

pretty now And of before in and increase late market as where a going the over of just late you compared disconnect, has been today, and capitalization put shows which Instructions] in look based in while trading certification things months even market our the in how you job But [Operator done was on back had much you and of and its in been market of to on when plus in started day June volume year what at pretty that questions psychology so company is when there trading a Xx hell a are point to it the just market was you XXX% press. the have world are close again is this ‘XX in a global what or for market about you a your your and high the topsy-turvy and having have loading, X something started the cap good particular. about perspective, and on to past was June ‘XX

becoming easier is company, other So people laid you we are based on are this going thing think have I you that. because what so and checkmarks. more have of you you the future what easier achieved, Well, out for delivering, questions that, track many the getting it’s to to with keep start taking

people to ‘XX So conclusions we to as look here? like what it up to own will their draw could leave

Ed Wegel

to Grant Do questions, and… read want you Okay. the

Grant Howard

now. them into getting am I Yes,

Ed Wegel

Okay.

Grant Howard

First, the from how relations affect current approach opportunities reestablishing Venezuela, with John operations? that South your does administration’s to for given American Chamberlain,

Ed Wegel

immediately city administration start would with GlobalX, other daily current airlines I well Well, by almost that’s flights, would a and non-stop one to good clients, the Venezuela. very, If again Venezuela question. and perhaps for Miami our Venezuela we anticipate opens the that in in continues for a would Category up Caracas some FAA bode U.S. nonstop very X of

that’s that I two would flights. daily probably very would X flights, guess would And have to So daily we established. after quickly increase

for will in all it all So be us. very good

Grant Howard

Next from Neil Fort the Lauderdale facility? the what’s of Wilson, status

Ed Wegel

the We facility We – builder, lease their the or County are finalized be has their still ground within of soil. a be what are by And the developer that to facility is subsidiary XX anticipate which on in Broward end needed Capital, breaking studies days. Aviation Department. our designer that They mitigation hope agreement might XXXX. Oaktree of next completing see with to in the we environmental

needs some the hangar to by airport. airlines We have at for of approached rent already out been their some the own space

Some very already approached have us. major airlines

largest Fort airport. there. hottest investments the the So It facility this be of be hangar will at will one Lauderdale

And can You for to X the on have ramp or we AXXXs. an parking X airplanes. take up AXXX

be that’s question soon South as short our to XX a for that But to think us will answer will us, to your possibly the can and will that with to as again, community and from here, of which operate alliances be Florida great is of will all we our airlines in and strategic facility be help months facility this that down offer we relationships. being aviation now. facility part So the we able the XX

Grant Howard

that quarter expect is second QX? congratulations was far don’t in want Braun, how of the the and And to know Axel what again uplist, From about on status I the but talk the do part QX? NASDAQ of grow, you profitability we you

Ed Wegel

uplisting from anticipate profit for I quarter say. status allowed about as I on quarter. That’s fourth a us assets what quarter more should sheet. good to allowed to the have We require will in a much am the QX NASDAQ us the But maybe in as much of probably too say balance to to be

movement see the we additional which need up price, get that forthcoming share our uplist in ability the today, Given think us give now very profitability to assets would which as and our we here to we financing, be will shortly. the

Ryan Goepel

we of of demonstrate multiple always we said demonstrate four our operations And said have cargo any up and think I and we quarters revenue to We wanted running demonstrate to opportunity. anticipated We have freight, wanted times. we to profitability growth. sort uplist it want before and

boxes. we three So will with all November, have ticked

Grant Howard

working through Sorry, that question QX? just the of the inflow disappeared on me. capital Please individual experience during components walk million $X.X us

Ed Wegel

by don’t we keep top as paid think to deposits, cash. a get advance, get off I which I that in and we necessarily by we could that in do generating large, driven the our business of big my is contributor grow mind head, but paid was

revenue. some quarter proportion of with as to a relate have bit, us that’s company. generated also also in do bigger for have end payables that We generate more allowed but also And profit, cash a the we get as which we grown revenue the you to with

Grant Howard

looking and on to for great any question comment your answer you cash expectations thank profitability I forward, and Another flow be future could but you and different, your growth please here, quarter? don’t and expect

Ed Wegel

goes growth, the question and The size, for get how increase cash of to in end basically we had we XX along that of come in, look aircraft XXXX, well, by size with XXXX company in have double we the – we this the the at flow. future outlined

need as all of control basic fixed get X least in costs, to thumb to goes business you and the which costs. we that so X everything X the that infrastructure with have we you then of rule costs line. of fixed that in covered airline. needed staffing, that And increases airplanes, departments fixed your our breakeven is at to percentage So this operations of of after do that the Once this cover the part terms that finance various you airplanes have are bottom to

is drives price, growth, to units share So, drives all our of that certificate increase our our additional our driven both are our flow, size our plan to and company by that our plan price. adding is our is should share increase that to cargo and cash to passenger drive our profitability increase the aircraft the plan

Grant Howard

to be the costs once related aircrafts to aircraft GlobalX? Will deferred delivered deposits returned are

Ed Wegel

our are exactly that’s Yes, how not setup. financials

flights airplane their the be all it the to would used for the would So, we that which paid how they we return either they are reconciliation pay lessors balance for factored asset, look have once their return. sort us to covered have of their returning to settle When customer paid on customer deposits of on they costs, at part are we the with an aircraft into part as up fly, of works the flights that’s or sheet. that we are that deposits as the

Grant Howard

addition reported aircraft, The B-XXX. XX of of media the addition of potential sources various potential the B-XXX the

Ed Wegel

them. will that operates The regional best XX are bought The the of aircraft then XX Douglas. based and good became for is is and a series aircraft. probably operates And that very We XXX McDonnell looking well off the Delta Hawaiian them. at of the Qantas aircraft as I has as the proven built. say operates XXX both XXX Qantas. of to Hawaiian Boeing the airplanes. and is – eventually aircraft of XX Delta MD-XX be no, MD-XX It ever it

an ease of pilots. within because lot passengers. And X for that clients about And what as XX and acquisition so market at MD-XX are aircraft to we hours aircraft work us strain various is half operate. operate. cheap be it can proposed deals carry airplane, very that pilots, a us and a for looked a have we the have qualified to charter would cheap at fits we perfectly talk looked need would XX parameters in the the to our have The be XXX AXXX would very, of very those we this that fly which aircraft, that seen on is with to for us There the also of aircraft to

We the of haven’t decisions a We at lot things analyze all made that. on same time. any

this So we airplane. analyzing are

a right analyzing GlobalX. us. this aircraft our AXXXs. that this we more small within airplane the would to against we be operating airline versus performer We are going had like AXXXs exceptional it analyzing immediately for and But fleet balance if in this are We two perhaps an versus of types complexity now,

So, we’re only out we cons, that of U.S. take the come are volunteers them. couldn’t of in more get very very, fleets probably starting weighing airplanes the to airline pros could out and interested are aircraft, the we’re these of that of gotten the because fleet, they the

we’re is airplane, need analysis. doing briefed terms answer very board mandate in needs of short be to they’ve we’re So, given a interested lot in the be asked, analysis our done. more questions and of that a the and to that We’ve us

in this been on more have have the will real a future. made. It’s possibility, we but So decisions no very

Grant Howard

leverage of approvals operate and September. connecting this U.S. cities the question about Next of or The be Canada of global forgotten, one’s share Jetlines Jetlines U.S. on Jetlines are not dividend that GlobalX you will have to just who shares people, July spun receive and Canada Canadian the ‘XX, in two Canada flights remember to Canada Jetlines and attending Canada out for who today started past GlobalX the commercial operations and with may start got one can Jetlines is,

Ed Wegel

than economic to the probably Canada, get went of answer going from that let just they representative very have required were Ryan to I’m of me in. of what just is say through question. that certified Canada we’re hoops Canada environment been board But and first Transport on did through that they go the to Jetlines, more should we’re they Ryan ask proud Jetlines to our because

and they very We’re their now their some signed airplane and that airplane for second proud have service. started first have scheduled

again, they U.S. have the up influence have But constant can with is dialogue our investor, do. Ryan, as only So to that extent on the and Jetlines discussions is to we of on with speed Jetlines them. board so about can we since much what we

start So you why highlights. don’t

Ryan Goepel

announced available Toronto, to And of fly with Crossing States. ability a going once Jetlines use flying made has we’re through announcements Canada Vancouver in that U.S. and as the with them. has Calgary are get sell looking are Calgary dictate part the sell metal, to and you to the to know, ability Global they – to flights destinations big their our initial United their So, in at Toronto, for U.S. would today’s the they aircraft

the bigger, basically, can component. That’s So scale. Jetlines faster, in a be game really which is key of

with areas working identify team what make are economics which the commercial sense. we make So a to sense

always been for sure more so the charter want model, be key they relationship make airlines. been before faster, Jetlines the they’ve about then is place. commit permission so to we that with and what relationships working get to – it. do to – flying to And place sell a a the is south. of get idea getting they’re in all given We yes, [indiscernible] to risk cost again, is of is [indiscernible] that announcements we in secondly, this for tickets, and flying there, mixed kind to bigger, ability effective distribution leverage of will And their the And a it of really GlobalX has the focused getting on on because to to this will the

Grant Howard

in into that during were XXXX? results and due compensated says provide it summer due Europe to obligations. ran suggest you detail? summer complications expect flights The to Can this European your be to year further contractual flying any permitting you Do you QX

Ed Wegel

I’ll flying that. favorable Ryan take are out will deals very, to company. He’s worked very about some just And of future. Europe first the the talk that the part in then in

the Let just me this about Europe in summer. talk issues

we That we organization, all so, we through the to us is and final August. to stand-up the prudent and part for us TUI, the protocols wasn’t pay conduct received ethical very had with authorities the called they that very assured to what’s were went windfall, Europe. it airplanes, because phases Agency. run required from that airplanes paid us of EASA approvals CAA At in Dutch they you us case out that them. cleared within flying would cleared while or we that Dutch the the about had process us otherwise, to insurance major They we that with as ACMI, Country continue wasn’t the for in the paid the one The operations operate home had Crew Dutch fly. costs had within EASA of were and well Insurance tour the Third lease Aviation very, which that the paying and to our know, about in the a Operator the maintenance XX% crew authorities contract us we felt the advised authorization and daily of mid costs, operators for of Safety us pay So for bring to a sufficient of thought what point, TCO are on stop for us TUI meet TCO Europe. to they and to but and they costs, we requirements aircraft. through We Aircraft Maintenance they our that for so EASA, the European amounts XX% a

never that TUI, directly of the those have in flying other the by paid revenues. have we So we so the would Europe, any received expenses done have of would all would been

flown our we saw negotiations we established So them. our and relationship our TUI, to well maintained to waiting worked we primarily with Ryan’s start of them. get how out crews with and paid discussions They operation operation. we much the we Europe. because getting airplanes an were as had operated the we and how we in have out To flights, received TCO with They our paid saw would with them excellent and while effect, as have

cockpit some to said with to they trained And a We’ve the conducted relationship long-term came for and with how of your would like themselves so about establish they summer. we and in of flight attendants our to us seen seen fly attendants weeks. end airplanes, we’ve your GlobalX. And you, flight quickly crews, Europe after X the we’ve

partner to And come. so years to for our we you want be the

And over so project Ryan negotiations, the them what next let and my to with TUI, discussions about X do talk we the years. I’ll X with really to

Ryan Goepel

to terms Yes, work, operators, them positioned for we’re have Ed in years, we’re the basically ‘XX, before significant our formal we ‘XX. and services in have ‘XX relationship great can to to over working TUI, have, a there charter only support they to, on relationship long a have forward an and in our alluded ability announced but And of their to our Europe, much ‘XX, and every the looking details our opportunities significant Europe, them. other would through agreement believe we in for execute we operations, need with summer, well summer. a – booked. need aircraft there’s aircraft it with to working airline we the like the with TCO for come operators pretty incredibly in place, strong we’re the on anything for type our with of X-year services a rates, as the think not with They a number with be demand we’ve and we see are, contract, There’s and in

Ed Wegel

suggestion with their two to the of aircraft. that we us we the established as own probably from could to which summers, up a increase actually in four to Europe, We’ve our five at multi or discussed many them AOC operate for number them would as in aircraft, AOC, allow aircraft

if that So we’re sense. see discussing and with them, that, makes that analyzing

for is but terms that, obviously we expense the relationship We’re in with an that TUI aircraft and our the them expand greatly looking revenue of of to opportunity base. at of there operate the number

Grant Howard

and what Wilson, BNN love want see see can house? on you to I want it’s at someday. a and to we your question are would, you you primary someone to comment but point, Neil here, this would From we CNBC there all answer not

Ed Wegel

as scheduled operate a charter operator. airline, a don’t we as Well, we’re

of hubs a cities. So of down are that concentration we’re of our depends that to depends year, couple areas on somewhat have where areas, of but fluid. It a I in based. starting will are we on know we couple where clients a It high charter settle time into say charters geographical should our originate.

So lot Miami into into of our obviously, home Cuba base. out to our main We flying of the Mexico. do Miami is and into base, Latin a America, into Caribbean,

that our our of is position a place great operations course, in And we Antonio. It’s So and attendants. a maintenance control do San and maintenance Miami both Texas it management cabin and Antonio Miami. in great are recruit there cockpit where our lower in that Antonio government It’s in base is a It’s here base. lot in established flight establish crew. senior our where place maintenance staff. We flying, hub. San living Texas primary of or is. a crew base current San we in will is base center Antonio in San originates pilot with probably We’ve to is in is to of Cost than a both a also need staff in

the Vegas, more attendant flying Phoenix, And so have some the And Las be base we’re we’re going in other base Coast. to still the moving we coast, analyzing Texas. actually looking locations functions to west in at – country, airline we’re flying flying and some into into doing Las more onto perhaps, flight West of this we’re studying Vegas,

Las in so there established flight attendants. And a beachhead have we’ve we Vegas,

our Atlantic grow As base West, assignment. spirit basing we get a complete as we is maintenance, in ferry we they’re with permanently place we relationship where anticipate aircraft, in Las City business after Vegas. in And charter Northeast airplanes their often or flights the our aircraft in maintain two the as their for next waiting more for with we they it one a there

base. to So City the build to we continue Atlantic want

Atlantic Miami, City, would San that Vegas. Antonio give Las us and So

covers us. that for the country So

As areas certain aircraft. we in look stay aircraft, get we and more as the the northwest. we certainly more we to specialized But snow grow where may can something as and larger freezing put can of we our to in U.S. in or line want much the below country, up the we keep

Grant Howard

do and [indiscernible] this in financing financing, how you environment? envision

Ed Wegel

put have which in on our fleet we in done let had aircraft. And inquiries this given a the very, budget, about able far, is that we’ve you invest But place of being speak to our to-date, growth, financing this in given primary many that given a company. of imagine deals very the some one what specifics. can small Ryan we terms of for so have I’ll about assets company, AXXX freighter of

So got options, decided none have which we of on. we’ve

at to We attractive stock now, We rise want not grow are even XX% we right the continuing bit gain. selling to at even our with price, equity potential a our aircraft concurrent share will hopefully in which makes it’s fleet. see that price, more for our profitability, today’s grow attractive for us even and

be we But take we will we on will I if want on need hope know in that additional higher you that don’t expect aircraft. cash today. prices certainly XX we So aircraft base not equity the could have additional do equity it share raise able as to to the and to get to… We we future. at

Ryan Goepel

is over we’ve a last And we’ve Yes, the – I away. raised. if X.X think, much disciplined how raise when really haven’t we’ve give years we I equity I think, reticence to would been anything about really we money, demonstrated – reiterate

last in As the debt some March, raise warrants. in when we indicative raised in million with $X

I palatable, of given in stage equity, to form warrant or think a A is the with not convertible this raise something is a much the our makes a are at fluid changes our think activity, of pretty point. every between again, big share price ensuing and we the inclination lot see But level projections, this is sense. that day. I disconnect And a situation price. more more

focus on required. resources. to to is is need it’s have the if existing it, issue. get on but will in But XX extra to executing, accelerate not to we speed again, a to issue. a growing there focus – as years, ability growing with our we survival X.X bring cash be want we there what not grow in revenue, the It’s So growth we aircraft of It’s a profitably,

makes we fly, be right? help routes, can customers we to them. incredibly who get get been So it, plan. optimistic, sense asset we when When go go a we continue great fly, see need – see we help we we it. When on that for see we go we’ve we’re really see our just we every going to made And execute cheap, other we go as have decision aircraft

the disciplined So X.X last over I approach our that don’t I and been think has changing. pretty years that’s see don’t

Grant Howard

you be are from this capital suggested acquiring that aircraft you mentioned first – strategy putting assets books. on Mike Harrison, Speaking may of anticipating the longtime assets Those of the shareholder your on than different seven planes.

Ed Wegel

in although are not as them. I deals, still incredible is And aircraft a leasing we question see rates leasing are driving aircraft lease aircraft market this buy firm is to market, We to soft your in were, when some very, the But good they say ago, year we are think driving deals. as what you starting still leasing aircraft there up. very as opposed

over ahead, some a We cease the growth look Europe in think the And have will operating. year. airline we we airlines next slow time will be down. that may think difficult As Europe that there

additional for be of and to the parts next continue So, we AXXXs will will issues. Europe as year, particularly perhaps opportunistic over some Asia certain have

very to So, the means be very, That go leased that on balance have aircraft. to there don’t also we our on We sale. buy for aircraft. equity deals look sheet certainly drive aircraft good will

have don’t very about put aircraft but do the a love aircraft, We we the put to to way equity. piece sheet. ways acquire in us, have are We to so capability an where balance do creating aircraft. that. that finance a sources some at would that, the finance that some And on either to sliver for looking currently aircraft bulk certain lease, could obviously or assets put talked the our we constantly of of facility could on very, they we financing we We aircraft acquisition the would

Grant Howard

you give to at every or people, I Great pilots having on He is And nature airlines are one can questions weeks, other mechanics? you us this pilot your related quarter. around point starting three new the issues today? of the some class any you and insight in the ability competitive retention a recruitment of in hire and know have that

Ed Wegel

So, we well, have certificate. our before been actively recruiting pilots, since over the last certainly XX received we months,

very We have it. at good gotten

couple a pilots of the got we have recruiting all of draw We where obviously to from. pilot sources We conferences. go different

Aviation training. OSM four Fort in Airways. program the We first owner our with is an owned we Academy Norse that Atlantic And Lauderdale, have of in officers first by here have with six from another which agreement signed gotten

they of flying want U.S. of flying their to terms positions, let’s the or age, are at Asia, which important very we In get it go Middle mid-XXs sit or captains, captain. the in or in come Delta direct last come to entry recruiting in rather those of two where a favorable XX, overseas home. pilots really become they less East qualified United an assignments that to seat to the the where they flying and or don’t is and most would call very, in have they airlines. are the want successful But flying part been right who career and to the American They for us,

are pay. We in competitive

are more lifestyle the and terms of do. we We of competitive in than flying Florida in that South types

captains our to have in aircraft. far we ensuring so successful crew So, enough got have been we

OSM year, have and now we got been FOs those have other from the captain enough that from we Academy, sources. to can with the backfill over Now, FOs and start us, upgrading now past

with a feel very, So, there. we for is we where out good pilots. battle It very constant now, are

are the battling majors. We

for attracting very battling And are we here. what potential with even some offer very of growth. They certain Allegiant qualified our be grow We the in lifestyle Frontier Spirit in JetBlue, others what pay their a increased know and that the different our competitors we see airlines. experienced line here They but that elements is Allegiant, and are those are and and paying and who captains, from as see we profitability. flying will

in U.S. year, majority hiring be think that move we hired confident. and we And reasons. will as the we We we pilots next feel now will So, slow of feel right various recruited, to the comfortable, we we think for that retain down the forward. able vast that trained have the

In in of have schools relationships terms here some the of maintenance maintenance with some we personnel, Miami.

they and in had technicians, maintenance they AXXX, see and think difficulty We not U.S. then necessarily AXXX. they chain. growing. They type airlines those they the ramp continue as growth, technicians maintenance of with we right can the other a are because have attracting staff, move fleet the supervisors, then because not to of come airlines line to because the AXXX, we that and want here, up operate come maintenance charter in become become maintenance they now, can’t that get They eventually controllers

to getting we issues, grow as and will profitability, no continue airline. pilots, we technicians, good to the grow getting in issues, able be maintenance no far we talent feel and to attract so So,

Grant Howard

think on e-airplanes? away passengers shy the there Do you you Can might from batteries regarding cause issues lithium elaborate safety potential? to using aviation are that

Ryan Goepel

them that take think that, I our on let work out.

acceptance. going their think through I They are certification they going through their process. are

that We here to are I fly work it’s think with them be out – up are and not prove going ready they to when will them. to to we to

Ed Wegel

frequently help that the with years. the want us with airplane with in we want to to the an order us the airplane we help allows it to talk that want design so get also see types operate for won’t of in shape what that another to to That airplanes for airplane. in we operations manufacturer to can So, We the those position. line X deliver of

both Alice are ongoing on aviation with which and discussions the aircraft. the Aircraft side is those eVTOL so And with Eve the

now of in So, to aircraft see particular at the a both those seat aircraft for us aircraft. operation. in we the shape have place essentially it for those of table in what able gives we and line no our money development down, to want And a for being terms

Grant Howard

And you has have the competitive aircraft, since going this some unique have or And we can you had what’s this acquiring COVID climate forward? how part, now? circumstances during in advantage maintain it. Got in addressed

Ed Wegel

turning I as have ago, moment towards lease environment, operating seeing back bit said Well, are a lessor. a aircraft the we the

of many We don’t significant XX probably airplanes us. there It’s for but excess more difficulties a we a tremendously this power really we here months day AXXXs, best get converted maybe a perhaps acquired, our get terms, lease to coming and deal we cycle age, for European AXXXs, of built it as We And any of that what offering calls better, on agreed think the advantage, is our said the is we in has We out or AXXX, remain be be starting eventually have bit are maintenance Although will sent a in continue in here this freighter the have at probably disassembled just team, absorbed some signed been little a aircraft that into AXXX fleet. and for for probably all dozen all in rate. favorable not I airplane fact, AXXXs will aircraft as a airlines. of for are of aircraft that material situation into in that the storage terms have AXXX and into airline the which in another that increase will paying where systems. us earlier next market. are numbers new And that airlines to I back the two financed the hour, see we acquisition be than Alaska, will we weeks still its in another But significant amount next to leases go storage today is the taken terms either will in excellent we U.S. be of the of doubt and out AXXXs will or year. airplanes. – our Europe on some aircraft. by least into more

going is happen. Next year, reverse the I think to

we So, of I to growth. the think good we going are and many fuel up can to part cycle. over still as advantage our we XX a take airplanes And as the months next in are tie of that

Grant Howard

current not question, next of staff number to pilots seven you to it the Raise the aircraft? have but whether down or is comes sufficient what

Ed Wegel

the are Yes. revenues. We seeing increase in hours, in block the increases we why that’s do. and And

three We have classes as starting was about earlier stated, every weeks.

We just one. have started

five we get class our for And it. that in hope captains we already have We or before December recruited got that’s seven just close to six to out.

crew captain So, sufficient of number aircraft, the right training, or next upgraded have we officer we of in number first first per being is able as sufficient well to to the as passenger two a and now crews to two be have a aircraft. crews freighters

services demand as on the side the for well cockpit the are we as keeping our So, up with on both crews. aircraft

Grant Howard

the Questions is and among and is confusion of such causing Part a JET.B new related JET.B between why there shares. the the retail JET disparity it to investors.

discussed shares. of have when this You before, you the JET.B rid get can

Ryan Goepel

XX% by shares a Transportation’s just for to of of U.S. of the ownership were Department the shares So, story, be those in our compliant bit us who regulations, order stipulates for need our JET.B of created which history are the to voting be held new with citizens. shareholders, voting to XX%

convertible had us any So, to significant with JET.B. one Canadian, create primarily foreign shares. as a JET byproduct the we base, economic push is Jetlines, for at of basis or our the The as shares one Canada are shareholder same a merger And which initial it rights which on JET.B is forced formation JET JET the time. to exact features they has of to and

we shares – of prove as is are far report to is JET.B, all owned can JET to the to have XX% would owns there of my difficult, rid to Department shares. go by because getting of the a U.S. we little out be no citizens, which the Transportation As are able find I that who

being by point That over shares, in B I We is and said, the owning X,XXX collapse we passports shares first course a maintain less in all we don’t uptick a getting have means have now think launched have think a the X,XXX shares to. XXXX, which can significant that the shareholders June X,XXX into we of U.S. to desire task. longer at of common, shareholders, for than seen shareholders, those of but any are acquisition than where have we the no by citizens. we since the difficult I

Grant Howard

the do. has remainder this of price Flugy not to appreciate the for Get you discipline. the quickly. raising acquisition airline? benefited Thanks all How equity, Congratulations for

Ed Wegel

in us a of benefited ways. actually It’s number

that’s some at Flugy for material driving just more us. contracts three have significant We with House. revenue And Soho signed

work focused profitability. agency driving our ad focused media on on to the we We and have on as it has much But as brand. do haven’t continued the airline to developing

similar like companies talking the House, more are and more product. We to Soho to type develop

could a experience would and flights fly taking stake would that of that investors as Flugy our travel the would and us a space, of And it increase well. piece we significant spinning of it. come of value in We with them in couple bringing want all we to Flugy to space, growth are which in talking if would about accelerate equity come stake out we to maintain online a the Flugy charter the the of outside travel investors and out,

led made. us investment that five flights so to nominal a for it’s we relatively far on So, have

in product our social We also in website that outside have the growth product. and agency online significant bring capabilities. our extremely new for to And positioned we of this now it positioned some the space we who a see media, an want their understand for experts with get can with expansion well a and and investment

Grant Howard

When of cargo you group see XX any plans freight forwarders? do partnerships to with major aircraft, up

Ed Wegel

talk the all carriers. of to package Yes. We

AXXX XX% well we more more the XXX-XXX aircraft. freighter which also on carry. discussions are the what The will of understand are the for with the they On the We in XXX the freighter, which them. competes XX-years-old. weekly capabilities a is product, freighter against than extremely AXXX is replacement basis, doing. understand over They The It than average XXX-XXX. carries are what competing freighter

of UPS, that and of understand and like the forwarders that, package Amazon, all the what extra the And they means. so freight carriers economics XX% DHL,

in So, we of discussions them. all with are

won’t forwarders got them than airlines LOI much with the or of passenger to got airplane is have very and launch with that this AXXX a larger that, have we than we package lined We got attractive them more contracts already I fly freighter. them. the under airplane have But size that we more the very, operator, say best XX operate aircraft AXXX And XX narrowbody other to carriers. freight say the the the than aircraft. to w lease, now up firm being with a significant very have good And some is for freighter. which of

very And profitability throughout operating aircraft, to and take drive U.S. in positioned significant the growth this it very, Latin so well and and we America. are

Grant Howard

congratulations closing, With the done Ed end of and In the gentlemen, questions. of that well Ryan. that would be

Ed Wegel

We continue been on for Grant. we able you to us, It’s much, since work following for Thanks a promise know doing, us support. you June create in our are many call extremely shareholders’ very have of to I what with that us. hard XXXX. the everyone to airline. there And do are we appreciate money great profitable. to we day to of with be Thanks your which is profitable hanging to a announce

So, everyone everyone. Grant. thanks great have day. again, a And Thanks

Grant Howard

you. Thank

Global Crossing Airlines (JETMF) 2 Nov 222022 Q3 Earnings call transcript