FLYEXCLUSIVE INC.
For the period ended Sep 30, 2025. Filed Nov 12, 2025.
View on SEC.govAbout this filing
A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Sep 30, 2025 · Filed Nov 12, 2025
FLYX$1.17+14.7%Stored close · as of Nov 6, 2026
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2025-06-30; filed 2025-08-13.
0000950170-25-107987
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsCurrent report: 10-Q
Period ended 2025-09-30; filed 2025-11-12.
0001193125-25-277504
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsThe baseline is this issuer’s latest earlier reporting period of the same form that was filed before the current report. A previous 10-Q is a different quarter, not a year-over-year comparison. Amendments are excluded.
Compared 211 previous paragraphs and 219 current paragraphs.
157 unchanged; 46 reworded; 15 added; 6 removed; 2 previous and 1 current paragraphs rearranged.
Tables are not compared: 8 previous and 8 current tables excluded. Dates, whitespace, punctuation and numbering changes are ignored; changes to financial figures remain significant.
A changed paragraph is not evidence that risk increased or decreased. An unchanged paragraph does not establish that risk stayed the same.
Added paragraphs (15)
Current report
On October 1, 2025, the Company and Volato entered into the Amendment to the Volato Agreement. Pursuant to the Amendment, Volato granted the Company the right to purchase from Volato certain aviation-related assets and assume certain obligations related to aviation-related assets (the “flyExclusive Option”), and the Company granted Volato the right to sell to the Company certain aviation-related assets and assign certain obligations of Volato (the “Volato Option,” and collectively with the flyExclusive Option, the “Asset Options”). The Volato Option is exercisable by Volato beginning on the effective date of the Amendment and ends on the earlier of (i) the end of the Term (defined below), (ii) the day immediately prior to the beginning of the exercise period of the flyExclusive Option, and (iii) the completion of the Merger Option. The flyExclusive Option is exercisable by the Company beginning six months following the completion of any change of control of Volato and will expire simultaneously with the end of the Term (as defined below). The Volato Merger (as defined below), if consummated, would constitute a change of control under the Amendment, triggering the beginning of the exercise date of the flyExclusive Option as March 31, 2026. In addition, the term of the Volato Agreement (the “Term”) was extended to the sooner of (i) September 1, 2026, (ii) the consummation of the asset purchase agreement applicable to the Asset Options, subject to an exercise of either of the Asset Options or (iii) the consummation of the merger (or any substantially similar transaction) of Volato and M2i Global, Inc. (the “Volato Merger”) pursuant to an Agreement and Plan of Merger among them, dated as of July 28, 2025, subject to the exercise of the Merger Option. In consideration for the Amendment, including the transfer of assets envisioned by the flyExclusive Option and the settlement of certain outstanding accounts between Volato and the Company, and the grant by Volato to the Company of certain additional rights, the Company will pay Volato $4.1 million, $2.1 million of which was payable on the date of the Amendment. The Company may pay, in its discretion, some or all of the consideration in cash or shares of its Class A common stock. The Company elected to pay all of the $2.1 million in shares of its Class A common stock and issued an aggregate of 432,099 shares to Volato in October 2025.
Current report
This consists of (losses) gains that arise from the difference between the carrying amount of right-of-use assets and lease liability recorded on the consolidated balance sheets.
Current report
Results of Our Operations for the Nine Months Ended September 30, 2025 Compared to the Nine Months Ended September 30, 2024
Current report
Cost of revenue increased by $18.7 million, or 8.7%, for the nine months ended September 30, 2025 compared to the nine months ended September 30, 2024, primarily due to:
Current report
An increase of $1.5 million for aircraft management expenses.
Current report
An increase of $2.4 million in personnel and training-related expenses.
Current report
The loss on lease termination increased by $2.3 million for the nine months ended September 30, 2025, compared to the nine months ended September 30, 2024 primarily due to increased impairment on leasehold improvments during the current period.
Current report
Loss on extinguishment of debt
Current report
The loss on extinguishment of debt increased by $4.2 million for the nine months ended September 30, 2025, compared to the nine months ended September 30, 2024 as a result of the exchange of the EGA Sponsor Note in exchange for additional shares of Series B Preferred Stock in the first quarter of 2025.
Current report
Cost of revenue increased by $11.3 million, or 16.6%, for the three months ended September 30, 2025 compared to the three months ended September 30, 2024, primarily due to:
Current report
An increase of $1.3 million in fuel expenses; and
Current report
An increase of $1.1 million in aircraft management expenses.
Current report
An increase of $1.7 million in personnel and training-related expenses.
Current report
Depreciation and amortization expenses increased by $0.4 million or 6.5% for the three months ended September 30, 2025 compared to the three months ended September 30, 2024. The increase was primarily due to an increase in amortization related to finance leases.
Current report
The loss on lease termination increased by $2.2 million for the three months ended September 30, 2025 compared to the three months ended September 30, 2024 primarily due to increased impairment on leasehold improvements during the current period.
Removed paragraphs (6)
Previous report
Results of Our Operations for the Six Months Ended June 30, 2025 Compared to the Six Months Ended June 30, 2024
Previous report
Cost of revenue increased by $7.4 million, or 5%, for the six months ended June 30, 2025 compared to the six months ended June 30, 2024, primarily due to:
Previous report
An increase of $0.8 million for aircraft Wi-Fi and ground expenses; and
Previous report
An increase of $0.5 million in software costs.
Previous report
Cost of revenue increased by $4.9 million, or 7%, for the three months ended June 30, 2025 compared to the three months ended June 30, 2024, primarily due to:
Previous report
A decrease of $0.7 million for aircraft repair and maintenance.
Reworded paragraphs (46)
Previous wording
The following discussion and analysis of our financial condition and results of operations should be read together with our financial statements and related notes included elsewhere in this Report. Management’s discussion and analysis contains forward-looking statements, such as statements of our plans, objectives, expectations, and intentions. Any statements that are not statements of historical fact are forward-looking statements. When used, the words “believe,” “plan,” “intend,” “anticipate,” “target,” “estimate,” “expect” and the like, and/or future tense or conditional constructions (“will,” “may,” “could,” “should,” etc.), or similar expressions, identify these forward-looking statements. These forward-looking statements are subject to risks and uncertainties including those under "Cautionary Note Regarding Forward-Looking Statements" and Item 1A "Risk Factors" elsewhere in this Report and “Risk Factors” in Item 1A of our Annual Report on Form 10-K for the year ended December 31, 2024 and our Quarterly Report on Form 10-Q for the quarter ended March 31, 2025 that could cause actual results or events to differ materially from those expressed or implied by the forward-looking statements in this Report. Our actual results and the timing of events could differ materially from those anticipated in these forward-looking statements as a result of several factors. We do not undertake any obligation to update forward-looking statements to reflect events or circumstances occurring after the filing date of this Report.
Current wording
The following discussion and analysis of our financial condition and results of operations should be read together with our financial statements and related notes included elsewhere in this Report. Management’s discussion and analysis contains forward-looking statements, such as statements of our plans, objectives, expectations, and intentions. Any statements that are not statements of historical fact are forward-looking statements. When used, the words “believe,” “plan,” "anticipate,” "estimate,” “expect” and the like, and/or future tense or conditional constructions (“will,” “may,” “could,” “should,” etc.), or similar expressions, identify these forward-looking statements. These forward-looking statements are subject to risks and uncertainties including those under "Cautionary Note Regarding Forward-Looking Statements" and Item 1A "Risk Factors" elsewhere in this Report and “Risk Factors” in Item 1A of our Annual Report on Form 10-K for the year ended December 31, 2024 and our Quarterly Report on Form 10-Q for the quarter ended March 31, 2025 that could cause actual results or events to differ materially from those expressed or implied by the forward-looking statements in this Report. Our actual results and the timing of events could differ materially from those anticipated in these forward-looking statements as a result of several factors. We do not undertake any obligation to update forward-looking statements to reflect events or circumstances occurring after the filing date of this Report.
Previous wording
flyExclusive is a premier owner and operator of curated private aviation experiences dedicated to surpassing passenger expectations for quality, convenience, and safety. Our mission is to be the world’s most vertically integrated private aviation company through capital-efficient program growth, an industry-leading pricing model, optimal dispatch availability, in-house training, and a controlled premium customer experience on modernized aircraft. As of June 30, 2025, we had over 100 aircraft in our owned and leased fleet that includes light, midsize, super-midsize, and large jets. As one of the nation’s largest Citation operators, flyExclusive has curated a versatile fleet of Citation CJ3 / CJ3+, Citation Excel / XLS / XLS+, Citation Encore+, Citation Sovereign, Citation X, and Challenger 300 / 350 aircraft. We have a long track record of success and growth across a full range of industry services. Our core competitive advantage is the purpose-built, in-house control of decisions and processes needed to operate a successful private aviation company through a range of market environments.
Current wording
flyExclusive is a premier owner and operator of curated private aviation experiences dedicated to surpassing passenger expectations for quality, convenience, and safety. Our mission is to be the world’s most vertically integrated private aviation company through capital-efficient program growth, an industry-leading pricing model, optimal dispatch availability, in-house training, and a controlled premium customer experience on modernized aircraft. As of September 30, 2025, we had approximately 90 aircraft in our owned and leased fleet that includes light, midsize, super-midsize, and large jets. As one of the nation’s largest Citation operators, flyExclusive has curated a versatile fleet of Citation CJ3 / CJ3+, Citation Excel / XLS / XLS+, Citation Encore+, Citation Sovereign, Citation X, and Challenger 300 / 350 aircraft. We have a long track record of success and growth across a full range of industry services. Our core competitive advantage is the purpose-built, in-house control of decisions and processes needed to operate a successful private aviation company through a range of market environments.
Previous wording
See the section entitled “Risk Factors — Risks Relating to Our Business and Industry -“On June 30, 2023, we terminated our agreement with Wheels Up that accounted for a significant portion of our total revenues for the years ended December 31, 2022 and 2023. Such termination could have an adverse effect on our business, results of operations, and financial condition if we fail to materially replace the revenue derived from Wheels Up moving forward as expected”in our Annual Report on Form 10-K for the year ended December 31, 2024 and Note 23 "Commitments and Contingencies" of the notes to the condensed consolidated financial statements (unaudited) consolidated financial statements included elsewhere in this Report, for more information on the WUP termination.
Current wording
Such termination could have an adverse effect on our business, results of operations, and financial condition if we fail to materially replace the revenue derived from Wheels Up moving forward as expected”in our Annual Report on Form 10-K for the year ended December 31, 2024 and Note 23 "Commitments and Contingencies" of the notes to the condensed consolidated financial statements (unaudited) consolidated financial statements included elsewhere in this Report, for more information on the WUP termination.
Previous wording
During the fourth quarter of 2023, we began the process of modernizing our fleet. Our plan is to sell a portion of our fleet that is older and replace those aircraft with newer models, which will grant our customers access to newer aircraft. In connection with this effort, through the six months ended June 30, 2025, we recorded a portion of the fleet as being held for sale. We expect the fleet modernization to continue through fiscal 2025 and do not anticipate a material decline to revenue as we will replace sold models with the newer aircraft which offer increased availability and operating efficiency.
Current wording
During the fourth quarter of 2023, we began the process of modernizing our fleet. Our plan is to sell a portion of our fleet that is older and replace those aircraft with newer models, which will grant our customers access to newer aircraft. In connection with this effort, through the nine months ended September 30, 2025, we recorded a portion of the fleet as being held for sale. We expect the fleet modernization to continue through fiscal 2025 and do not anticipate a material decline to revenue as we will replace sold models with the newer aircraft which offer increased availability and operating efficiency.
Previous wording
In addition to our results of operations below, we report certain key financial measures that are not required by, or presented in accordance with, GAAP.
Current wording
In addition to our results of operations below, we report certain key financial measures that are not required by, or presented in accordance with, accounting principles generally accepted in the United States of America ("U.S. GAAP").
Previous wording
These non-GAAP financial measures are an addition, and not a substitute for or superior to, measures of financial performance prepared in accordance with GAAP and should not be considered as an alternative to any performance measures derived in accordance with GAAP. We believe that these non-GAAP financial measures of financial results provide useful supplemental information about us to investors. However, there are a number of limitations related to the use of these non-GAAP financial measures and their nearest GAAP equivalents, including that they exclude significant expenses that are required by GAAP to be recorded in our financial measures. In addition, other companies may calculate non-GAAP financial measures differently or may use other measures to calculate their financial performance, and therefore, our non-GAAP financial measures might not be directly comparable to similarly titled measures of other companies.
Current wording
These non-GAAP financial measures are an addition, and not a substitute for or superior to, measures of financial performance prepared in accordance with U.S. GAAP and should not be considered as an alternative to any performance measures derived in accordance with U.S. GAAP. We believe that these non-GAAP financial measures of financial results provide useful supplemental information about us to investors. However, there are a number of limitations related to the use of these non-GAAP financial measures and their nearest U.S. GAAP equivalents, including that they exclude significant expenses that are required by U.S. GAAP to be recorded in our financial measures. In addition, other companies may calculate non-GAAP financial measures differently or may use other measures to calculate their financial performance, and therefore, our non-GAAP financial measures might not be directly comparable to similarly titled measures of other companies.
Previous wording
We include Adjusted EBITDA as a supplemental measure for assessing operating performance in conjunction with related GAAP amounts and for the following:
Current wording
We include Adjusted EBITDA as a supplemental measure for assessing operating performance in conjunction with related U.S. GAAP amounts and for the following:
Previous wording
The following table reconciles Adjusted EBITDA and Adjusted EBITDAR to net loss, the most directly comparable GAAP measure (in thousands):
Current wording
The following table reconciles Adjusted EBITDA and Adjusted EBITDAR to net loss, the most directly comparable U.S. GAAP measure (in thousands):
Previous wording
We define members per aircraft as members contributing to revenues divided by aircraft contributing to revenues. We use members per aircraft to control the customer experience through the management of our customer to aircraft ratio. For the six months ended June 30, 2025, 97.1% of our customers were fulfilled on our fleet without the potential high-cost of reliance of third parties to meet demand. An optimal customer to aircraft ratio allows us to gain a competitive advantage by having sufficient aircraft available to meet member demand and be flexible to backfill unused aircraft for wholesale use.
Current wording
We define members per aircraft as members contributing to revenues divided by aircraft contributing to revenues. We use members per aircraft to control the customer experience through the management of our customer to aircraft ratio. For the nine months ended September 30, 2025, 96.7% of our customers were fulfilled on our fleet without the potential high-cost of reliance of third parties to meet demand. An optimal customer to aircraft ratio allows us to gain a competitive advantage by having sufficient aircraft available to meet member demand and be flexible to backfill unused aircraft for wholesale use.
Previous wording
The following table sets forth our results of operations for the six months ended June 30, 2025 and 2024 (in thousands, except percentages):
Current wording
The following table sets forth our results of operations for the nine months ended September 30, 2025 and 2024 (in thousands, except percentages):
Previous wording
Jet club and charter revenue increased by $9.5 million, or 6.5%, to $156.5 million for the six months ended June 30, 2025 as compared to the six months ended June 30, 2024. Jet club and charter flight hours increased by 9.1% and effective hourly rates increased by 3.5% during the six months ended June 30, 2025 compared to the six months ended June 30, 2024.
Current wording
Jet club and charter revenue increased by $20.3 million, or 9.4%, to $236.8 million for the nine months ended September 30, 2025 as compared to the nine months ended September 30, 2024. Jet club and charter flight hours increased by 7.5% and effective hourly rates increased by 1.7% during the nine months ended September 30, 2025 compared to the nine months ended September 30, 2024.
Previous wording
Fractional ownership revenue increased by $8.7 million for the six months ended June 30, 2025 as compared to the six months ended June 30, 2024 primarily due to fractional membership growth.
Current wording
Fractional ownership revenue increased by $11.7 million for the nine months ended September 30, 2025 as compared to the nine months ended September 30, 2024 primarily due to fractional membership growth.
Previous wording
Maintenance, repair, and overhaul revenue increased by $0.9 million for the six months ended June 30, 2025 as compared to the six months ended June 30, 2024 primarily due to an increase in external services for outside customers.
Current wording
Maintenance, repair, and overhaul revenue increased by $2.5 million for the nine months ended September 30, 2025 as compared to the nine months ended September 30, 2024 primarily due to an increase in external services for outside customers.
Previous wording
Aircraft management services revenue increased by $1.3 million for the six months ended June 30, 2025. There was no such revenue in the 2024 period, the change being due to the Company providing certain aircraft management services for third-party aircraft owners under the Volato Agreement, which was entered into in September 2024.
Current wording
Aircraft management services revenue increased by $1.2 million for the nine months ended September 30, 2025 as a result of the Company providing certain aircraft management services for third-party aircraft owners under the Volato Agreement, which was entered into in September 2024.
Previous wording
An increase of $3.8 million in overhaul program expense;
Current wording
An increase of $6.5 million in overhaul program expense;
Previous wording
An increase of $3.1 million for affiliate lift expense;
Current wording
An increase of $7.0 million for affiliate lift expense;
Previous wording
An increase of $1.1 million for salaries and wage related expense; and
Current wording
An increase of $3.4 million for salaries and wage related expense; and
Previous wording
Selling, general and administrative expenses decreased by $5.4 million, or 12%, for the six months ended June 30, 2025, compared to the six months ended June 30, 2024. The decrease in selling, general and administrative expenses was primarily attributable to:
Current wording
Selling, general and administrative expenses decreased by $5.9 million, or 8.8%, for the nine months ended September 30, 2025, compared to the nine months ended September 30, 2024. The decrease in selling, general and administrative expenses was primarily attributable to:
Previous wording
A decrease of $4.1 million in professional fees, advertising and marketing costs;
Current wording
A decrease of $6.6 million in professional fees, advertising and marketing costs;
Previous wording
Depreciation and amortization expenses decreased by $1.2 million, or 8.7%, for the six months ended June 30, 2025, compared to the six months ended June 30, 2024. The decrease was primarily due to a decrease in depreciation expense resulting from a decrease in owned aircraft.
Current wording
Depreciation and amortization expenses decreased by $0.8 million, or 3.9%, for the nine months ended September 30, 2025, compared to the nine months ended September 30, 2024. The decrease was primarily due to a decrease in depreciation expense resulting from a decrease in owned aircraft.
Previous wording
(Gain) loss on aircraft sales and aircraft held for sale changed by $2.6 million for the six months ended June 30, 2025, compared to the six months ended June 30, 2024, as a result of the favorable environment for selling aircraft for the six months ended June 30, 2025 as compared to the six months ended June 30, 2024.
Current wording
(Gain) loss on aircraft sales and aircraft held for sale changed by $8.2 million for the nine months ended September 30, 2025, compared to the nine months ended September 30, 2024, as a result of the favorable environment for selling aircraft for the nine months ended September 30, 2025 as compared to the nine months ended September 30, 2024.
Previous wording
Interest income decreased by $1.5 million for the six months ended June 30, 2025, compared to the six months ended June 30, 2024, primarily as a result of an decrease in interest income on U.S. Treasury bills.
Current wording
Interest income decreased by $2.3 million for the nine months ended September 30, 2025, compared to the nine months ended September 30, 2024, primarily as a result of a decrease in interest income from U.S. Treasury bills as well as sales of investment securities during 2025.
Previous wording
Interest expense decreased by $0.5 million for the six months ended June 30, 2025, compared to the six months ended June 30, 2024, primarily as a result of decreased debt.
Current wording
Interest expense decreased by $1.1 million for the nine months ended September 30, 2025, compared to the nine months ended September 30, 2024, primarily as a result of decreased debt.
Previous wording
Change in fair value of warrant liabilities changed by $4.5 million for the six months ended June 30, 2025, compared to the six months ended June 30, 2024, due to changes in the observable inputs by which the Public Warrants and Private Placement Warrants are valued.
Current wording
Change in fair value of warrant liabilities changed by $0.1 million for the nine months ended September 30, 2025, compared to the nine months ended September 30, 2024, primarily due to changes in the observable inputs such as the trading price of our Class A Common Stock, by which the Public Warrants and Private Placement Warrants are valued.
Previous wording
Jet club and charter revenue increased by $7.0 million, or 9.6%, to $79,454, for the three months ended June 30, 2025 as compared to the three months ended June 30, 2024. Jet club and charter flight hours increased by 5.1% and effective hourly rates increased by 4.2% during the three months ended June 30, 2025 compared to the three months ended June 30, 2024.
Current wording
Jet club and charter revenue increased by $10.7 million, or 15.4%, to $80,330, for the three months ended September 30, 2025 as compared to the three months ended September 30, 2024. Jet club and charter flight hours increased by 13.1% and effective hourly rates increased by 2.0% during the three months ended September 30, 2025 compared to the three months ended September 30, 2024.
Previous wording
Fractional ownership revenue increased by $4.2 million for the three months ended June 30, 2025 as compared to the three months ended June 30, 2024 due to fractional membership growth.
Current wording
Fractional ownership revenue increased by $3.0 million for the three months ended September 30, 2025 as compared to the three months ended September 30, 2024 due to fractional membership growth.
Previous wording
Maintenance, repair, and overhaul revenue increased by $0.6 million for the three months ended June 30, 2025 as compared to the three months ended June 30, 2024 due to an increase in external services for outside customers.
Current wording
Maintenance, repair, and overhaul revenue increased by $1.6 million for the three months ended September 30, 2025 as compared to the three months ended September 30, 2024 due to an increase in external services for outside customers.
Previous wording
Aircraft management services revenue increased by $0.6 million for the three months ended June 30, 2025 due to the Company providing certain aircraft management services for third-party aircraft owners under the Volato Agreement which was entered into in September 2024. The Company had no Aircraft management services revenue for the three months ended June 30, 2024.
Current wording
Aircraft management services revenue decreased by $0.1 million for the three months ended September 30, 2025 due to the Company providing fewer aircraft management services for third-party aircraft owners under the Volato Agreement which was entered into in September 2024.
Previous wording
An increase of $2.4 million in overhaul program expense;
Current wording
An increase of $2.7 million in overhaul program expense;
Previous wording
An increase of $1.7 million for affiliate lift expense;
Current wording
An increase of $3.9 million for affiliate lift expense;
Previous wording
An increase of $1.3 million for salaries and wage related expense;
Current wording
An increase of $2.1 million for salaries and wage related expense;
Previous wording
Selling, general and administrative expenses decreased by $1.2 million, or 6%, for the three months ended June 30, 2025 compared to the three months ended June 30, 2024. The decrease in selling, general and administrative expenses was primarily attributable to:
Current wording
Selling, general and administrative expenses decreased by $0.5 million, or 2.4%, for the three months ended September 30, 2025 compared to the three months ended September 30, 2024. The decrease in selling, general and administrative expenses was primarily attributable to:
Previous wording
A decrease of $1.2 million in professional fees, advertising and marketing costs.
Current wording
A decrease of $2.5 million in professional fees, advertising and marketing costs; and
Previous wording
Interest income decreased by $0.9 million for the three months ended June 30, 2025, compared to the three months ended June 30, 2024, primarily as a result of a decrease in interest income on U.S. Treasury bills.
Current wording
Interest income decreased by $0.8 million for the three months ended September 30, 2025, compared to the three months ended September 30, 2024, primarily as a result of a decrease in interest income from U.S. Treasury bills as well as sales of investment securities during 2025.
Previous wording
Interest expense decreased by $1.2 million for the three months ended June 30, 2025, compared to the three months ended June 30, 2024, primarily as a result of decreased debt at June 30, 2025 compared to June 30, 2024.
Current wording
Interest expense decreased by $0.6 million for the three months ended September 30, 2025, compared to the three months ended September 30, 2024, primarily as a result of decreased debt at September 30, 2025 compared to September 30, 2024.
Previous wording
The change in fair value of warrant liabilities changed by $1.1 million for the three months ended June 30, 2025, compared to the three months ended June 30, 2024 due to changes in the observable inputs by which the Public Warrants and Private Placement Warrants are valued.
Current wording
The change in fair value of warrant liabilities changed by $4.3 million for the three months ended September 30, 2025, compared to the three months ended September 30, 2024, primarily due to changes in the observable inputs, such as the trading price of our Class A Common Stock, by which the Public Warrants and Private Placement Warrants are valued.
Previous wording
Our principal sources of liquidity have historically consisted of financing activities, including proceeds from equity investments by our chief executive officer, Thomas James Segrave Jr., notes payable, and operating activities, primarily from the increase in deferred revenue associated with prepaid flights. As of June 30, 2025, we had $15.8 million of cash and cash equivalents, and $12.2 million available borrowing capacity under the term loan. In addition, as described below, in January 2024 we entered into a senior secured note to borrow up to $25.8 million and as described below, in March 2024, we issued non-convertible redeemable Series A preferred stock that provided the Company with approximately $25.0 million of capital, and in August 2024, we issued convertible Series B preferred stock that provided the Company with approximately $25.5 million of capital. Our cash equivalents primarily consist of liquid money market funds, and our investments primarily consist of fixed-income securities including municipal issues.
Current wording
Our principal sources of liquidity have historically consisted of financing activities, including proceeds from equity investments by our chief executive officer, Thomas James Segrave Jr., notes payable, and operating activities, primarily from the increase in deferred revenue associated with prepaid flights. As of September 30, 2025, we had $18.7 million of cash and cash equivalents. In addition, as described below, in January 2024 we entered into a senior secured note to borrow up to $25.8 million and as described below, in March 2024, we issued non-convertible redeemable Series A preferred stock that provided the Company with approximately $25.0 million of capital, and in August 2024, we issued convertible Series B preferred stock that provided the Company with approximately $25.5 million of capital. Our cash equivalents primarily consist of liquid money market funds, and our investments primarily consist of fixed-income securities including municipal issues.
Previous wording
We currently anticipate that cash required for expenditures for the next 12 months is approximately $137.4 million, which includes accounts payable of $32.3 million, accrued expenses and other current liabilities of $30.2 million, long-term notes payable, current portion of $19.6 million, short-term notes payable of $8.3 million, long-term notes payable - related party, current portion of $23.1 million, non-cancellable lease payments of $22.7 million and excise tax payable of $1.2 million. We plan to refinance contractual principal payments that comprise the short-term debt liability as they become due. As stated above, we have maintained a positive relationship with our debtholders and have not historically had any difficulty refinancing our debt obligations. Based on our historical experience and the fact that we have not suffered any decline in creditworthiness, we expect that our cash on hand and cash earnings will enable us to secure the necessary refinancing. The accounts payable, accrued expenses, and lease liabilities will be settled using a combination of cash generated by operations, sale of investments, and incremental borrowing activity, if necessary.
Current wording
We currently anticipate that cash required for expenditures for the next 12 months is approximately $144.9 million, which includes accounts payable of $33.3 million, accrued expenses and other current liabilities of $29.8 million, long-term notes payable, current portion of $25.0 million, short-term notes payable of $9.7 million, long-term notes payable - related party, current portion of $25.7 million, non-cancellable lease payments of $21.5 million and excise tax payable of $1.2 million. We plan to refinance contractual principal payments that comprise the short-term debt liability as they become due. As stated above, we have maintained a positive relationship with our debtholders and have not historically had any difficulty refinancing our debt obligations. Based on our historical experience and the fact that we have not suffered any decline in creditworthiness, we expect that our cash on hand and cash earnings will enable us to secure the necessary refinancing to meet our cash requirements for the next 12 months. The accounts payable, accrued expenses, and lease liabilities will be settled using a combination of cash generated by operations, sale of investments, and incremental borrowing activity, if necessary.
Previous wording
Net cash used in operating activities for the six months ended June 30, 2025 was $10.1 million, resulting from our net loss of $39.2 million, $12.0 million of depreciation and amortization, $1.7 million in non-cash interest expense, $11.2 million in non-cash rent expense, $4.2 million loss on extinguishment of debt, $2.0 million of stock based compensation and $0.6 million decrease from net changes in operating assets and liabilities, partially offset by $1.2 million gain on assets held for sale, $0.3 million change in the fair value of private placement warrant liability, $0.2 million change in the fair value of public warrant liability and $0.3 million change in the fair value of penny warrant liability. The $0.6 million outflow from operating assets and liabilities is primarily due to a $0.7 million decrease from accounts receivable, $0.8 million decrease from other receivables, $0.7 million decrease in parts and supplies inventory, $2.5 million decease from prepaid and other current assets, a $11.0 million decrease from operating lease liabilities, and $5.2 million decrease from deferred revenue, partially offset by a $1.4 million increase in amounts due from related parties, $12.0 million increase from accounts payable and $6.4 million increase in other non-current liabilities.
Current wording
Net cash used in operating activities for the nine months ended September 30, 2025 was $10.3 million, resulting from our net loss of $60.2 million, adjusted for $19.7 million of depreciation and amortization, $2.2 million in non-cash interest expense, $16.5 million in non-cash rent expense, $2.1 million loss on lease termination, $4.2 million loss on extinguishment of debt, $2.8 million of stock based compensation, $0.2 realized loss on investment securities, $0.6 million change in the fair value of private placement warrant liability, a $0.4 million change in the fair value of public warrant liability and a $1.1 million change in the fair value of penny warrant liability, partially offset by a $3.9 million increase from net changes in operating assets and liabilities, and a $3.3 million gain on assets held for sale. The $3.9 million inflow from operating assets and liabilities is primarily due to a $0.8 million decrease from accounts receivable, a $1.2 million decrease from other receivables, a $0.4 million decrease in parts and supplies inventory, a $4.2 million decrease from prepaid and other current assets, a $16.3 million decrease from operating lease liabilities, offset by a $1.4 million increase in amounts due from related parties, a $13.0 million increase from accounts payable, a $3.1 million increase from deferred revenue, and a $9.4 million increase in other non-current liabilities.
Previous wording
Net cash used in operating activities for the six months ended June 30, 2024 was $42.2 million, resulting from our net loss of $60.8 million, $13.2 million of depreciation and amortization, a $0.5 million change in amortization of contract costs, a $0.7 million change in non-cash interest expense, a $10.8 million change in non-cash rent expense, $1.4 million loss on aircraft held for sale, a $1.9 million increase in the provision for credit losses, a $1.5 million change in fair value of a Private Placement Warrant liability, a $4.6 million change in the fair value of the Public Warrant liability, and a $12.1 million decrease from net changes in operating assets and liabilities, partially offset by a $1.4 million change in non-cash interest income and a $2.3 million change in the fair value of Penny Warrant liability. The $12.1 million decrease from operating assets and liabilities is primarily due to a $1.1 million decrease from other receivables, $0.9 million decrease from parts and supplies inventory, a $11.0 million decrease from operating lease liabilities a $3.9 million decrease from current liabilities, and $2.8 million decrease from deferred revenue, partially offset by a $0.8 million increase from prepaid and other current assets, and a $0.5 million increase from accounts payable and a $6.4 million increase from other non-current liabilities.
Current wording
Net cash used in operating activities for the nine months ended September 30, 2024 was $54.4 million, resulting from our net loss of $85.0 million, adjusted for $19.3 million of depreciation and amortization, $0.8 million in amortization of contract costs, $1.1 million in non-cash interest expense, $15.8 million in non-cash rent expense, a $4.9 million loss on aircraft held for sale, a $2.1 million increase in the provision for credit losses, a $0.4 million change in fair value of a Private Placement Warrant liability, a $4.0 million change in the fair value of the Public Warrant liability, and a $13.5 million decrease from net changes in operating assets and liabilities, partially offset by a $2.1 million change in non-cash interest income and a $2.2 million change in the fair value of Penny Warrant liability. The $13.5 million outflow from operating assets and liabilities is primarily due to a $1.8 million decrease from other receivables, a $0.8 million decrease from parts and supplies inventory, a $16.0 million decrease from operating lease liabilities, a $4.1 million decrease from accounts payable, a $2.9 million decrease from other current liabilities, and a $0.7 million decrease in accounts receivable, partially offset by a $6.3 million increase from deferred revenue, a $6.4 million increase from other non-current liabilities, and a $0.3 million increase from prepaid and other current assets.
Showing the first 40 of 46 pairs. Open the source sections for the rest.
Rearranged current paragraphs (1)
Current report — wording carried from elsewhere
See the section entitled “Risk Factors — Risks Relating to Our Business and Industry -“On June 30, 2023, we terminated our agreement with Wheels Up that accounted for a significant portion of our total revenues for the years ended December 31, 2022 and
Rearranged previous paragraphs (2)
Previous report — wording carried elsewhere
A decrease of $2.1 million for fuel expenses.
Previous report — wording carried elsewhere
Depreciation and amortization expenses decreased by $0.9 million or 13.6% for the three months ended June 30, 2025 compared to the three months ended June 30, 2024. The decrease was primarily due to an decrease in depreciation expense resulting from a decrease in owned aircraft.