Wheels Up Experience Inc (NYSE:UP) shares drooped Wednesday, after the company reported a third-quarter revenue increase of 55% year-over-year to $301.98 million.
The company's Active Members grew 45% Y/Y to 11,375 as of September 30, 2021. Active users increased by 29% Y/Y to 12,011 in Q3; Live Flight Legs increased by 52% Y/Y to 19,714, and Revenue per Live Flight Leg increased by 2% Y/Y to $11,076.
Gross profit for the quarter was $4.84 million (-44.5% Y/Y), and the margin contracted by 290 bps to 1.6%.
Total costs and expenses increased to $370.55 million (+120% Y/Y). Net loss was $59.46 million compared to net income of $20.55 million a year ago.
Loss from operations stood at $68.57 million versus income of $26.13 million same quarter last year.
Wheels Up's cash used in operating activities year-to-date amounted to $152.43 million, compared to $5.4 million cash provided a year ago.
Adjusted EBITDA loss expanded to $23.93 million from $8.03 million a year ago.
CEO Kenny Dichter said, "Our supply constraints are no different than what many companies are facing today, and reinforces the need for the technology-enabled marketplace platform that we are building. In the meantime, however, it's imperative that we continue our investments to deliver the best experience possible for every customer. I want to express my appreciation to our extraordinary team for their relentless dedication to the operation and their passion for our Members and Customers. In turn, I also want to thank our Members and Customers for their loyalty and trust."
UP shares are trading lower by $1.07, or 14.6%, at $6.24 during the market session on Wednesday.
