After market close today, FLYHT hosted its year end conference call. The call came after the company released its year end numbers which was highlighted by its revenue growing by 23% to over $8 million. Also of significance was a decrease in cash used in operating activities by over 36%.
Bill Tempany, CEO of FLYHT handled the call and provided a high level overview of the company’s achievements based on its objectives over the past year. Here’s how the company did:
Drive a substantially higher valuation through accelerated revenue growth and profitability
- Successfully increased revenues by 23.7% over the previous year.
Major Airbus operator for fleet retrofit 2013 and begin shipping from Airbus factory by late 2013
- Began shipping units in December 2013 and January 2014.
Build on strategic relationships to accelerate growth
- China: Continued to ship units to airlines in the country. Partnered to provide products to AVIC and COMAC. Agreement established to install AFIRS on the ARJ21 fleet.
- NetJets Transportes Aereos SA (“NetJets”): Installations on 10 aircraft complete in Q2 2013. Continue to work with NetJets to advance the program.
- Nigeria: Continued flight tracking and safety management system dashboard Nigerian Civil Aviation Authority (“NCAA”) Director General being replaced before program will resume in high gear.
Protect our markets by providing superior technology and service
- Expanded our STC list.
- Launched the Dragon.
Become cash flow positive in 2013
- Did not achieve cash flow positive by the end of 2013; however according to Mr. Tempany’s comments on the conference call, “This was a result of not receiving expected payment from Chinese orders by the end of the year. Some payments were however received in the first quarter.”
Other key points from the conference call:
- FLYHT is sending a team over to China to discuss data streaming and status of roll out of mandated Satellite Communication program, which specifies every commercial aircraft in China is to be equipped with a Sat Com solution by the end of 2017.
- Three clients applied and received a discount from insurance providers because of having AFIRS™ installed on the airlines’ aircraft.
- Currently talking to 50 – 70 airlines about installing AFIRS on their fleet.
- FLYHT also announced earlier today that First Air is the first airline to proactively add FLYHT’s FLYHTStream™ capability to its entire fleet. FLYHTStream is a service provided by the AFIRS technology that automatically triggers, real-time and live black box streaming in an emergency situation. In the news release the VP of Flight Operations at First Air stated, “Financially, AFIRS has paid for itself by saving First Air tens of thousands of dollars in flight management expenses, and FLYHTStream is only an incremental cost that is incurred when triggered, making the solution very cost effective." Click here to view the First Air news release.
To listen to an archived version of the conference call, please click here.