UP · Wheels Up Experience Inc.

Wheels Up reported Q1 2026 results reflecting the completion of its fleet modernization 18 months ahead of schedule, with legacy Citation X and Hawker 400XP aircraft retired from revenue service in April. GAAP revenue declined 5% YoY to $168.9 million, driven by planned wind-down of unprofitable legacy jet flying, offset by Phenom and Challenger revenue more than doubling as the owned/leased fleet expanded from 21 to 36 aircraft. Total Gross Bookings rose 10% to $267.2 million, fueled by charter business growth, while Private Jet Gross Bookings per Live Flight Leg increased 32% to $24,786 despite 28% fewer Live Flight Legs. Gross margins remained negative at $2.0 million loss, pressured by $5.0 million fleet modernization expenses. Adjusted Contribution Margin contracted to 8.7% from 12.6%, with management attributing ~5 points of pressure to prior non-core divestitures and fleet transition inefficiencies. Net loss improved 16% to $83.0 million, aided by 53% SG&A reduction from efficiency initiatives targeting $70 million annual savings. Operational excellence hit records: 98.9% Completion Rate (up 2pp), 82.7% A-30 On-Time Performance (up 8pp), and 2.0% 3+ Hour Delay Rate. Signature Membership reached over 800 members (1/3 of base), boosting engagement. Concurrently, on May 10, lead lenders Delta Air Lines, Cox Investment Holdings, and CK Wheels committed to a $100 million unsecured PIK term loan (expandable to $200 million), plus AIP Capital mezzanine financing, expected to deliver $165 million liquidity in Q2 for growth and fleet expansion. A 1-for-20 reverse stock split in April normalized shares, regaining NYSE compliance.