Fly Play (PLAY) Q3 2024 earnings summary

Executive summary

• Q3 2024 revenue declined 8.8% year-over-year to USD 100.5 million, with EBIT at USD 9.6 million, and net income at USD 3.5 million, while the company reported a nine-month net loss of USD 26.2 million.

• Load factor improved to 89.2%, with strong on-time performance and stable cash position at USD 39.8 million.

• The company is shifting its business model to focus on point-to-point leisure routes and expanding ACMI/charter operations, reducing transatlantic capacity.

• Four new destinations were launched in Q3 2024, and sales through connecting platforms increased 150% year-over-year.

• Cost optimization and network simplification initiatives are underway to improve efficiency and profitability.

Financial highlights

• Q3 2024 revenue was USD 100.5 million, down from USD 110.2 million in Q3 2023; EBIT margin decreased to 10% from 12% year-over-year.

• Net result for Q3 2024 was USD 3.5 million, compared to USD 4.7 million in Q3 2023; nine-month net loss was USD 26.2 million.

• Ancillary revenue remained strong at USD 30.1 million, 44% of airfare revenue.

• Cash position at quarter-end was USD 39.8 million, slightly above last year.

• Basic and diluted EPS for the nine months was -1.9 US cents.

Outlook and guidance

• The company will emphasize point-to-point leisure routes, reduce transatlantic capacity, and expand ACMI/charter operations globally.

• Cost-saving measures and network simplification are expected to yield early benefits in Q4 2024, with full impact in 2H 2025.

• Forward sales and RASK for the current and next quarter are significantly higher than last year.

• No specific 2025 guidance provided yet, pending further clarity on aircraft deployment agreements.

• Management believes the company is well prepared to handle future uncertainties due to its healthy financial position.