Wheels Up 1st Half Results 2025

For the first six months of 2025, Wheels Up generated revenue of $367 million and reported a small gross profit, but still incurred a large net loss. Overall, it flew 22,866 live flight legs during this period, and is continuing its fleet modernization.

Fleet Modernization

Last year, Wheels Up (NYSE:UP) announced that it was modernizing its jet fleet to focus on two models. These two aircraft, the Phenom 300 and Challenger 300/350 jets, comprised approximately 20% of Wheels Up's controlled fleet at quarter-end, and the company expects to add three Challenger 300 aircraft into revenue service in the third quarter of 2025. As part of streamlining its fleet, the company sold or completed lease returns on 31 legacy aircraft during the first half of 2025 and has retired the Citation CJ3 from revenue service. At the end of June 2025, there were over 120 aircraft in the owned and leased fleet, including 38 King Airs.

For the three months ended June 30, 2025, the Embraer Phenom 300 series and Bombardier Challenger 300 series aircraft in the controlled fleet flew monthly averages of 49 and 54 hours, respectively. This utilization level is much higher than legacy aircraft in the fleet, and heading towards levels seen by the large fractional operators.

Productivity and Efficiency

The company is in the process of implementing initiatives that are expected to drive approximately $50 million in annual cash cost savings following implementation through the efficiency, productivity, and overhead cost reduction actions associated with the fleet modernization plan and other actions over the next several quarters. They anticipate realizing a portion of the expected savings on a rolling basis as actions are taken, with the full impact of the anticipated cost savings expected to be reflected in our financial results beginning in the third and fourth quarters of 2026, relative to a baseline of the second quarter of 2025. All the above is aimed at reducing the net loss.

"Our top priority has been realigning our product, fleet, and operations to better meet customer demand, while advancing our strategic partnership with Delta. This focused execution has strengthened our financial position and laid a strong foundation for sustained, profitable growth," said Wheels Up Chief Executive Officer George Mattson. "I'm incredibly proud of how our team has continued to deliver exceptional service and operational excellence, even as we invest in modernizing and simplifying our fleet. As we scale our premium jet offering, deepen our collaboration with Delta, and drive greater productivity and efficiency, we remain committed to transforming our business and delivering the most accessible and flexible portfolio of private aviation solutions in the industry."