- Increase in total revenues of 105% year-over-year
- 17% point increase in net margin, adjusted for stock option expense
- Cash and cash equivalents of
$2.1 million as ofApril 1st , unchanged fromDecember 31 st, 2023
First Quarter 2024 and Recent Operational Highlights
- Released the National Jet Card Program using third party aircraft
- Announced partnership with FL3XX to integrate its DynoFlight carbon removal platform making it an easy option for thousands of FL3XX customers
- Launched Reroute AI, a web-based software tool designed to transform the way empty flight legs are utilized
- As previously disclosed, raised a
$16.5 million convertible preferred fromIonic Ventures LLC - Added a
King Air 350i to its managed fleet
First Quarter 2024 Financial Results
Revenues were
Software App and Cirrus Aviation Charter Revenue, the gross amount of charters booked through CharterGPT and
Management and Other Services revenue, which is comprised of revenues generated from managing and chartering our customer aircrafts, totaled
Cost of revenues totaled
Operating expenses excluding stock option expense totaled
Operating loss was approximately
Cash and cash equivalents including gross proceeds from the release of a tranche of a convertible preferred with
Management Commentary
“Last quarter we doubled sales year over year and substantially improved bottom line margin, up 17% points adjusted for option expense. In addition, we closed on the
“Looking ahead, we just announced a national jet card program that allows Jet.AI to address hundreds of millions of dollars of market potential with little or no incremental capital outlay. In our regional jet card program, we’re limited by the number of planes we control and their range, with the national program we don’t have those limitations because we use off-fleet jets from safety vetted operators. That frees us to use our regional jet card sales and management capability on a larger scale. In addition, next week we expect to launch a new version of Reroute AI geared toward the tens of thousands of charter brokers who routinely search for value on behalf of their customers. Overall, we’re headed in the right direction and staying disciplined.”
About Jet.AI
Jet.AI operates in two segments, Software and Aviation, respectively. The Software segment features the B2C CharterGPT app and the B2B Jet.AI Operator platform. The CharterGPT app uses natural language processing and machine learning to improve the private jet booking experience. The Jet.AI operator platform offers a suite of stand-alone software products to enable
Forward-Looking Statements
This press release contains certain forward-looking statements within the meaning of the federal securities laws with respect to the products and services offered by Jet.AI and the markets in which it operates, and Jet.AI’s projected future results. These forward-looking statements generally are identified by the words “believe,” “project,” “expect,” “anticipate,” “estimate,” “intend,” “strategy,” “future,” “opportunity,” “plan,” “may,” “should,” “will,” “would,” “will be,” “will continue,” “will likely result,” and similar expressions. Forward-looking statements are predictions, projections and other statements about future events that are based on current expectations and assumptions and, as a result, are subject to risks and uncertainties that could cause the actual results to differ materially from the expected results. As a result, caution must be exercised in relying on forward-looking statements, which speak only as of the date they were made. Factors that could cause actual results to differ materially from those expressed or implied in forward-looking statements can be found in the Registration Statement and the amendments thereto on Form S-4 filed with the
Jet.AI Investor Relations:
949-574-3860
Jet.AI@gateway-grp.com
JET.AI, INC. CONSOLIDATED BALANCE SHEETS | ||||||||
2024 | 2023 | |||||||
(unaudited) | ||||||||
Assets | ||||||||
Current assets: | ||||||||
Cash and cash equivalents | $ | 595,555 | $ | 2,100,543 | ||||
Accounts receivable | 162,962 | 96,539 | ||||||
Other current assets | 104,657 | 190,071 | ||||||
Prepaid offering costs | 800,000 | 800,000 | ||||||
Subscription receivable | 1,500,025 | - | ||||||
Total current assets | 3,163,199 | 3,187,153 | ||||||
Property and equipment, net | 6,967 | 7,604 | ||||||
Intangible assets, net | 53,577 | 73,831 | ||||||
Right-of-use lease asset | 1,442,884 | 1,572,489 | ||||||
Investment in joint venture | 100,000 | 100,000 | ||||||
Deposits and other assets | 798,111 | 798,111 | ||||||
Total assets | $ | 5,564,738 | $ | 5,739,188 | ||||
Liabilities and Stockholders’ Deficit | ||||||||
Current liabilities: | ||||||||
Accounts payable | $ | 1,386,436 | $ | 1,656,965 | ||||
Accrued liabilities | 2,444,004 | 2,417,115 | ||||||
Deferred revenue | 1,395,285 | 1,779,794 | ||||||
Operating lease liability | 513,869 | 510,034 | ||||||
Note payable | - | 321,843 | ||||||
Notes payable - related party | - | 266,146 | ||||||
Total current liabilities | 5,739,594 | 6,951,897 | ||||||
Lease liability, net of current portion | 891,415 | 1,021,330 | ||||||
Redeemable preferred stock | 1,702,000 | 1,702,000 | ||||||
Total liabilities | 8,333,009 | 9,675,227 | ||||||
Commitments and contingencies (Note 2 and 5) | - | - | ||||||
Stockholders’ Deficit | ||||||||
Preferred Stock, 4,000,000 shares authorized, par value | - | - | ||||||
Series B Convertible Preferred Stock, 5,000 shares authorized, par value | - | - | ||||||
Common stock, 55,000,000 shares authorized, par value | 1,255 | 975 | ||||||
Subscription receivable | (6,724 | ) | (6,724 | ) | ||||
Additional paid-in capital | 39,738,635 | 35,342,098 | ||||||
Accumulated deficit | (42,501,437 | ) | (39,272,388 | ) | ||||
Total stockholders’ deficit | (2,768,271 | ) | (3,936,039 | ) | ||||
Total liabilities and stockholders’ deficit | $ | 5,564,738 | $ | 5,739,188 |
JET.AI, INC. CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED) | ||||||||
Three Months Ended | ||||||||
2024 | 2023 | |||||||
Revenues | $ | 3,848,598 | $ | 1,875,508 | ||||
Cost of revenues | 3,972,954 | 1,950,526 | ||||||
Gross loss | (124,356 | ) | (75,018 | ) | ||||
Operating Expenses: | ||||||||
General and administrative (including stock-based compensation of | 2,546,294 | 2,488,018 | ||||||
Sales and marketing | 446,600 | 120,167 | ||||||
Research and development | 32,546 | 36,319 | ||||||
Total operating expenses | 3,025,440 | 2,644,504 | ||||||
Operating loss | (3,149,796 | ) | (2,719,522 | ) | ||||
Other expense (income): | ||||||||
Interest expense | 79,314 | - | ||||||
Other income | (61 | ) | - | |||||
Total other expense | 79,253 | - | ||||||
Loss before provision for income taxes | (3,229,049 | ) | (2,719,522 | ) | ||||
Provision for income taxes | - | - | ||||||
Net Loss | $ | (3,229,049 | ) | $ | (2,719,522 | ) | ||
Less cumulative preferred stock dividends | 29,728 | - | ||||||
Net Loss to common stockholders | $ | (3,258,777 | ) | $ | (2,719,522 | ) | ||
Weighted average shares outstanding - basic and diluted | 11,441,443 | 3,902,489 | ||||||
Net loss per share - basic and diluted | $ | (0.28 | ) | $ | (0.70 | ) |
JET.AI, INC. CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) | ||||||||
Three Months Ended | ||||||||
2024 | 2023 | |||||||
CASH FLOWS FROM OPERATING ACTIVITIES: | ||||||||
Net loss | $ | (3,229,049 | ) | $ | (2,719,522 | ) | ||
Adjustments to reconcile net loss to net cash used in operating activities: | ||||||||
Amortization and depreciation | 33,813 | 33,596 | ||||||
Amortization of debt discount | 80,761 | - | ||||||
Stock-based compensation | 1,199,318 | 1,407,044 | ||||||
Non-cash operating lease costs | 129,605 | 125,884 | ||||||
Changes in operating assets and liabilities: | ||||||||
Accounts receivable | (66,423 | ) | - | |||||
Other current assets | 85,414 | (98,571 | ) | |||||
Accounts payable | (270,529 | ) | 22,105 | |||||
Accrued liabilities | 26,889 | (192,625 | ) | |||||
Deferred revenue | (384,509 | ) | 352,401 | |||||
Operating lease liability | (126,080 | ) | (122,359 | ) | ||||
Net cash used in operating activities | (2,520,790 | ) | (1,192,047 | ) | ||||
CASH FLOWS FROM INVESTING ACTIVITIES: | ||||||||
Purchase of property and equipment | - | (4,339 | ) | |||||
Purchase of intangible assets | (12,922 | ) | (4,294 | ) | ||||
Investment in joint venture | - | (100,000 | ) | |||||
Deposits and other assets | - | 15,000 | ||||||
Net cash used in investing activities | (12,922 | ) | (93,633 | ) | ||||
CASH FLOWS FROM FINANCING ACTIVITIES: | ||||||||
Repayments - notes payable | (371,250 | ) | - | |||||
Repayments - related party notes payable | (297,500 | ) | - | |||||
Offering costs | (155,000 | ) | (436,969 | ) | ||||
Exercise of warrants | 742,474 | - | ||||||
Proceeds from sale of Common Stock | 1,110,000 | 1,588,695 | ||||||
Net cash provided by financing activities | 1,028,724 | 1,151,726 | ||||||
Decrease in cash and cash equivalents | (1,504,988 | ) | (133,954 | ) | ||||
Cash and cash equivalents, beginning of period | 2,100,543 | 1,527,391 | ||||||
Cash and cash equivalents, end of period | $ | 595,555 | $ | 1,393,437 | ||||
Supplemental disclosures of cash flow information: | ||||||||
Cash paid for interest | $ | 79,314 | $ | - | ||||
Cash paid for income taxes | $ | - | $ | - | ||||
Non cash financing activities: | ||||||||
Subscription receivable from sale of common and preferred stock | $ | 1,500,025 | $ | 9,935 |
Source: Jet.AI. Inc.
2024 GlobeNewswire, Inc., source