Volato has announced its results for the fourth quarter and full year ended 31 December, 2023.

Co-founder and CEO Matt Liotta says: "2023 marked a successful year of executing on our strategic priorities, scaling our fleet, expanding market share and continuing to demonstrate Volato's exceptional value to customers. We expanded the size of our floating fleet to 24 HondaJets, increasing aircraft usage revenue by 162 per cent year-over-year, and providing us with greater flexibility to meet growing customer demand. We are delivering higher and more efficient aircraft utilisation through our suite of charter and jet card products, our new Partner Benefits Program and our strategy for monetising empty repositioning flights, all while diligently managing our cost base. These efforts helped improve Volato's overall demand mix in 2023, with 48 per cent of flight hours attributable to higher margin, non-owner flights, thus increasing our blended yield by 12 per cent over the previous year.

"Industry factors beyond our control, specifically aircraft delivery delays, put downward pressure on top line revenue. We are in close contact with our suppliers and partners and understand that production and supply chain issues are easing, providing us with good visibility into our 2024 and 2025 delivery pipeline. We expect continued fleet expansion will propel revenue and margin in several ways, including increased fractional sales and operating revenue, and more efficient aircraft utilisation. We remain focused on growth and our path to profitability."

Fourth quarter and full year 2023 operational highlights:

- Increased the size of the floating fleet to 24 HondaJet IIs with firm orders for 22 HondaJet IIs and four Gulfstream G280s, to be delivered in 2024 and 2025.

- Completed a business combination resulting in public listing and raised over $40 million of total new capital.

- Partnered with Banyan Air Services to expand maintenance capabilities in the US southeast for Volato's growing fleet of HondaJets.

- Launched Partner Benefits Program to provide Volato members with elevated luxury experiences.

- Launched Volato Insider Program to drive additional non-owner demand.

- Launched Vaunt app in Q4 2023 to efficiently monetise empty repositioning flights.

CFO Mark Heinen says: "Gross profit margins improved on a sequential basis through a disciplined approach to managing our cost base and pursuit of higher yielding non-owner flight hours over the course of 2023. The growth of our floating fleet delivered higher usage revenue, and we expect these trends to continue as we add new aircraft to the fleet throughout the year. We also anticipate an increase in plane sale revenues with the expected delivery of nine to 11 new jets in 2024, providing the business with momentum on our path to profitability."

Fourth quarter 2023 financial highlights include total revenue of $31.5 million, of which aircraft sales revenue was $15.7 million, aircraft usage revenue $11.6 million and managed services revenue $4.2 million.

For the full year, total revenue was $73.3 million, of which aircraft sales revenue was $21.4 million, aircraft usage revenue $37.8 million and managed services revenue $14.1 million.

Total revenue for the fourth quarter decreased 12 per cent primarily due to lower aircraft sales. Aircraft usage revenue for the fourth quarter increased 121 per cent as a result of an increase in the number of aircraft in the floating fleet. Total revenue for the full year decreased 24 per cent primarily due to lower aircraft sales. Aircraft usage revenue increased 162 per cent as a result of an increase in the number of aircraft in Volato's floating fleet.

Net loss for the fourth quarter increased $20.5 million primarily due to a $13.4 million non-cash charge related to the change in fair value of the forward purchase agreement and higher operating selling, general and administrative expenses from the growth in its business. Net loss for the full year increased $43.5 million primarily due to lower gross profit from lower aircraft sales, a $13.4 million non-cash charge related to the change in fair value of Volato's forward purchase agreement and higher operating selling, general and administrative expenses from the growth in its business.

The growth in Volato's floating fleet increased fourth quarter 2023 flight hours 105 per cent over the previous year and increased full year 2023 flight hours 124 per cent over the previous year.

Demand mix continues to improve with 48 per cent of flight hours by higher yielding non-owner flights, increasing the fourth quarter 2023 blended yield to $5,348, nine per cent higher than the previous year.

Volato ended the fourth quarter 2023 with $14.5 million of cash and cash equivalents. The company believes that it has sufficient cash to achieve profitability based on its forecasted aircraft sales and flight operations.