NEW YORK - Blade Air Mobility, Inc. (NASDAQ:BLDE), a provider of air transportation and logistics services, disclosed its financial outcomes for the fourth quarter ending December 31, 2023, revealing a significant increase in revenue alongside a larger net loss.
The company reported a 24.5% year-over-year increase in Q4 revenue, reaching $47.5 million, and a 54.1% rise for the full year, totaling $225.2 million. Despite the growth, Blade's net loss expanded to $33.9 million in Q4, up from $15.4 million the previous year, and to $56.1 million for the full year, compared to $27.3 million in the prior year.
Blade's adjusted EBITDA, a key profitability metric, showed some improvement, with a loss of $5.2 million in Q4, better than the $7.9 million loss in the same period last year. The full-year adjusted EBITDA loss also narrowed to $16.6 million from $27.4 million.
The company announced the purchase of eight jet aircraft to enhance its Medical segment, aiming to provide lower-cost service with improved availability for hospitals. This move is expected to contribute to better unit economics for Blade. Additionally, Blade launched a new organ placement service in December as part of its growth strategy.
Despite the seasonal dip in Q4, Blade's Medical segment's adjusted EBITDA increased by 57.8% to $2.5 million, while the Passenger segment's adjusted EBITDA loss improved to $2.6 million. Blade also ended Q4 with $166.1 million in cash and short-term investments.
Looking ahead, Blade provided guidance for positive adjusted EBITDA in full-year 2024 and double-digit millions for 2025. However, the company has not reconciled its forward-looking adjusted EBITDA guidance to the most directly comparable GAAP measure due to uncertain costs that could significantly impact future GAAP financial results.
The company's financial outlook and strategic acquisitions reflect its focus on growth and margin enhancement, as well as its commitment to maintaining an asset-light business model, relying on third-party owned and operated aircraft for the majority of its flights.
This financial update is based on a press release statement from Blade Air Mobility, Inc.
InvestingPro Insights
Blade Air Mobility, Inc. (NASDAQ:BLDE) has shown a remarkable revenue increase in the last twelve months as of Q3 2023, with a growth rate of 62.77%, highlighting the company's expanding business. Although the net losses reported are sizable, the company's strategic moves, such as the purchase of eight jet aircraft, aim to improve service efficiency and may contribute positively to future financials.
InvestingPro Tips for BLDE suggest that the company holds more cash than debt on its balance sheet, which could provide financial flexibility and support for its growth initiatives. Additionally, analysts are optimistic about sales growth in the current year, which may be a promising sign for investors looking at the company's potential for revenue expansion.
Key real-time metrics from InvestingPro show BLDE's market capitalization stands at $297.79 million, indicating the market's current valuation of the company. The Price / Book ratio as of the last twelve months ending Q3 2023 is 1.13, which can offer insights into how the market values the company's net assets. Furthermore, BLDE has experienced significant returns over the last week, month, and three months, with respective total returns of 17.35%, 24.3%, and 34.8%.
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