Wheels Up, the country's third largest operator in charter hours, has announced it's laying off an unspecified number of non-operational employees to trim $30 million worth of salaries and benefits from its payroll. Despite its meteoritic growth, Wheels Up hasn't yet been profitable even though revenues are expected to be in the $1.5 billion range this year. Privatejetcardcomparisons.com is reporting that the layoffs are part of the plan to get to profitability by 2024.
According to AIN “UP” lost $275M in the first 9 months of 2022 compared to $121M loss during the same period in 2021. Real money! Although a $30M cost reduction is a good start it won’t scratch the surface of a $275M to $360M annualized kick in the chops. Sounds like a business version of Chernobyl…
Would be carful quoting anything from private jet card comparison… Same guy who told everyone Wheels up was a “Strong Buy” on Forbes EVEN though he had never before provided financial advise before in his journalistic life… Oh Yeah and its now down 80% since then, Good going Blogger!