Blade Air Mobility reports revenues up 186% in 2022Q1 to 31 March

Blade Air Mobility reports revenues up 186% in 2022Q1 to 31 March


Blade Air Mobility, Inc. (Nasdaq:BLDE, “Blade” or the “Company”), a technology-powered air mobility platform, has announced financial results for the first quarter ended March 31, 2022.

“It’s very rewarding to see such strong growth, both sequentially and year-over-year, in what has seasonally been the lightest quarter for Blade,” said Rob Wiesenthal, Blade’s Chief Executive Officer. “This is a testament to our success in diversifying Blade’s geographic footprint and customer base while staying true to our core strategy of aggregating the world’s best existing use cases for Urban Air Mobility and last-mile critical cargo.”

Mr. Wiesenthal added, “With Omicron now largely behind us, we are pleased to be seeing record volumes across our various business lines. People are travelling again and they are trying Blade.”

“Despite expected margin compression in the March quarter, we have seen a strong rebound in demand for our consumer-facing products in recent weeks as Covid restrictions have been lifted and Americans return to travel,” said Will Heyburn, Blade’s Chief Financial Officer. “In our New York airport transfer business, we’re been rewarded for maintaining service levels, posting our best week of flier volumes ever this month.”

“Our distinctive asset-light approach has served us well,” said Melissa Tomkiel, Blade’s President. “Blade’s ability to aggregate demand across our consumer and MediMobility businesses has enabled us to efficiently direct flight hours to our operators, securing exclusive, long-term access to aircraft at attractive rates.”

First Quarter Ended March 31, 2022 Financial Highlights

  • Total revenues increased 187% to $26.6 million in the current quarter versus $9.3 million in the prior year period
  • Short Distance revenues increased 300% to $4.2 million in the current quarter versus $1.1 million in the prior year period. Organic growth was driven by the resumption of our Blade Airport service and growth in demand for corporate and personal helicopter charter. Our acquisition of Helijet’s commuter passenger routes, which comprises our Vancouver business, contributed $1.8 million of revenues in the period, with depressed passenger volumes due to impacts from COVID-19 restrictions in British Columbia
  • MediMobility Organ Transport and Jet revenues increased 186% to $22.1 million in the current quarter versus $7.7 million in the prior year period driven by the addition of new hospital and jet clients, our acquisition of Trinity Air Medical (“Trinity”) and stronger demand for our seasonal BladeOne jet service between New York and South Florida
  • As expected, flight margin decreased this quarter, falling to 11% versus 16% in the prior year period, driven primarily by Blade Airport service, which requires operating at low passenger utilization per flight during the ramp phase and Omicron impacts to both Blade Airport and Vancouver
  • Absent Blade Airport and Vancouver, flight margin would have been approximately 17% in the current quarter
  • We expect utilization in our Blade Airport and Vancouver businesses to improve from first quarter levels as a result of improving travel demand and the elimination of COVID-19 restrictions, while recent seat price increases across our business are expected to further improve Flight Margin in future quarters
  • Net loss increased to $11.0 million in the current quarter versus net loss of $4.2 million in the prior year period, driven primarily by a $9.2 million increase in General & Administrative (“G&A”) costs partially offset by a $2.6 million favorable change in the fair value of warrant liabilities
  • The increase in G&A is attributable to (i) a $2.7 million increase in staff costs attributable to new hires to support the Company becoming public in May 2021 as well as our significant growth, both organically and through the consolidation of Trinity; (ii) a $1.7 million increase in legal and regulatory advocacy fees, which we do not expect to reoccur at this level; (iii) a $1.6 million increase in Directors & Officers (“D&O”) insurance expense following the Company becoming public; (iv) a $1.0 million increase in non-cash intangibles amortization costs in connection with the Trinity and Helijet transactions; and (v) a $1.0 million increase in mergers and acquisitions (“M&A”) transaction costs
  • Adjusted EBITDA decreased to $(7.7) million in the current quarter from $(2.2) million in the prior year period. The decrease versus the prior year period is primarily attributable to additional corporate and recurring expenses related to Blade’s growth and status as a public company, partially offset by increased Flight Profit
  • Excluding $2.2 million in new recurring public company expenses paid to third parties, primarily D&O insurance costs and professional fees, Comparable Adjusted EBITDA of $(5.5) million in the current quarter decreased versus $(2.2) million in the prior year period, driven primarily by increased corporate expenses, partially offset by increased Flight Profit

Business Highlights and Recent Updates

  • Blade’s Airport business has continued to experience a rapid recovery from Omicron-related impacts, achieving a record annualized weekly passenger run-rate of approximately 25,000 fliers this month, well ahead of the pre-covid and December 2021 peaks
  • On April 20, 2022 Blade announced the formation of Blade Europe, which will be headquartered in Paris, France, to accelerate international growth of Blade’s urban air mobility network
  • On April 14, 2022 Blade announced an expansion of its MediMobility footprint, with the addition of 14 new transplant centers in 2022, solidifying the company’s position as the largest dedicated air transporter of human organs for transplant in the United States. Blade now serves more than 40 Organ Procurement Organizations and Transplant Centers in 20 US States

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