LAS VEGAS, Aug. 15, 2025 (GLOBE NEWSWIRE) -- Jet.AI (the "Company") (Nasdaq: JTAI), a provider of high-performance GPU infrastructure and AI cloud services, today announced financial results for the second quarter ended June 30, 2025.
Recent Operational Highlights
- Announced its capital contribution to AIIA Sponsor Ltd., which serves as the sponsor of AI Infrastructure Acquisition Corp., a special purpose acquisition company (SPAC) that intends to conduct an initial public offering and focus on opportunities with companies and/or strategic assets in high-impact private technology companies advancing artificial intelligence, machine learning capabilities, and those involved in building, operating, or enabling next-generation data center infrastructure.
- Signed Letter of Intent ("LOI") and later executed a definitive agreement to form a joint venture with Consensus Core Technologies Inc. ("Consensus Core") to pursue the development of two hyperscale data-center campuses in Midwestern Canada and Maritime Canada, respectively.
- flyExclusive transaction remains on track to close by October 31, 2025.
Second Quarter 2025 Financial Results
Revenues were $2.2 million compared to $3.1 million in the same period last year. The decrease was primarily due to a reduction in Cirrus Charter and Jet Card revenue which stemmed mainly from clients, prospects and vendors anticipating the sale of the Company's aviation business to flyExclusive, as well as reduced flying by our management clients, partially offset by an increase in Software App revenue.
Software App and Cirrus Charter revenue, the gross amount of charters booked through CharterGPT and Cirrus, was $1.3 million compared to $1.6 million in the same period last year.
Management and Other Services revenue, which is comprised of revenues generated from managing and chartering the Company's customer aircraft, totaled $533,000 compared to $914,000 in the same period last year.
Jet Card and Fractional Programs revenue, which is generated from the sale and use of jet cards and service revenue related to ongoing utilization by the Company's fractional customers, totaled $421,000 compared to $559,000 in the same period last year.
Cost of revenues totaled $2.3 million compared to $3.5 million in the same period last year. The decrease was primarily due to decreased Cirrus charter flight activity and a decrease in merchant fees and federal excise tax relating to charter flights.
Gross loss totaled approximately $110,000 compared to $417,000 in the same period last year. The reduced gross loss was largely driven by the scale-back in operations during the quarter.
Operating expenses totaled $2.4 million compared to $2.8 million in the same period last year. The decrease was primarily due to a decrease in general and administrative expenses and sales and marketing expenses.
Operating loss was approximately $2.5 million compared to a loss of $3.2 million in the same period last year. The decrease was primarily due to the aforementioned reduced gross loss and decrease in operating expenses for the quarter.
As of June 30, 2025, the Company had cash and cash equivalents of approximately $8.3 million.
Six Months 2025 Financial Results
Revenues for the six months ended June 30, 2025 were $5.7 million compared to $6.9 million in the same period last year. The decrease was primarily due to decreases in Software App and Cirrus Charter revenue, Jet Card Revenue, but partially offset by increased Management and Other Services revenues.
Software App and Cirrus Charter revenue for the six months ended June 30, 2025 was $3.1 million compared to $4.0 million in the same period last year.
Management and Other Services revenue for the six months ended June 30, 2025 totaled $1.8 million compared to $1.7 million in the same period last year.
Jet Card and Fractional Programs revenue for the six months ended June 30, 2025 totaled $765,000 compared to $1.2 million in the same period last year.
Cost of revenues for the six months ended June 30, 2025 totaled $5.9 million compared to $7.5 million in the same period last year. The decrease was primarily due to a decrease in payments to Cirrus for aircraft management and operations tied to reduced flight activity, a decrease in third-party charter costs reflecting lower software-related revenue and reduced reliance on subcharters for Jet Card flights, and a decrease in federal excise taxes and merchant fees associated with charter flights.
Gross loss for the six months ended June 30, 2025 totaled approximately $226,000 compared to $541,000 in the same period last year, reflecting lower maintenance costs and pilot wages, as well as lower utilization of the Company's HondaJet Elites, partially offset by stable fixed costs.
Operating expenses for the six months ended June 30, 2025 totaled $5.4 million compared to $5.8 million in the same period last year. The decrease was primarily due to a decrease in general and administrative expenses and sales and marketing expenses.
Operating loss for the six months ended June 30, 2025 was approximately $5.7 million compared to a loss of $6.4 million in the same period last year. The decrease was primarily due to the aforementioned reduced gross loss and decrease in operating expenses for the quarter.
Management Commentary
Founder and Executive Chairman Mike Winston stated: "We continue to make encouraging progress across our Canadian data center project in partnership with Consensus Core. This past quarter, we executed a definitive agreement for the phased development of the Midwestern and Maritime projects, respectively. There, we outlined five strategic milestones which we intend to achieve and announce in sequence as the project progresses. To that end, we are now approaching the announcement of two upcoming milestones: one related to power at the Midwestern Canada site, and another reflecting further progress at the Maritime Canada site.
"Consistent with our pivot toward data centers, we recently announced a capital contribution toward AIIA Sponsor, an entity serving as a sponsor of AI Infrastructure Acquisition Corp. founded by certain members of our executive officers and directors. AI Infrastructure Acquisition Corp. is a SPAC targeting opportunities with private companies specializing in AI, machine learning, and data center infrastructure operations. Through our contribution, once the deal is closed, we will hold an equity interest that will not only strengthen Jet.AI's book equity but will reinforce our position in the AI data center sector. Beyond our data center projects, our agreement with flyExclusive remains on track to close by the recently extended outside date of October 31, 2025."
About Jet.AI
Founded in 2018 and is based in Las Vegas, NV, Jet.AI currently operates in two segments, Software and Aviation, and is transitioning to a pure-play AI data center company. Leveraging a leadership team with deep expertise in data center development and AI-driven technologies, Jet.AI intends to build a scalable, high-performance infrastructure to support the increasing computational demands of artificial intelligence. Our suite of AI-powered tools stems from our origin as an aviation company, and leverages natural language processing technologies to enhance efficiency, optimize operations, and streamline the private jet booking experience.
Forward-Looking Statements
This press release contains certain statements that may be deemed to be "forward-looking statements" within the meaning of the federal securities laws, including the safe harbor provisions under the Private Securities Litigation Reform Act of 1995, with respect to the products and services offered by Jet.AI and the markets in which it operates, and Jet.AI's projected future results. Statements that are not historical are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Forward-looking statements relate to future events or our future performance or future financial condition. These forward-looking statements are not historical facts, but rather are based on current expectations, estimates and projections about our Company, our industry, our beliefs and our assumptions. These forward-looking statements generally are identified by the words "believe," "project," "expect," "anticipate," "estimate," "intend," "strategy," "future," "opportunity," "plan," "may," "should," "will," "would," "will be," "will continue," "will likely result," and similar expressions or the negative of these terms or other similar expressions, but the absence of these words does not mean that a statement is not forward-looking. Forward-looking statements are predictions, projections and other statements about future events that are based on current expectations and assumptions and, as a result, are subject to risks and uncertainties that could cause the actual results to differ materially from the expected results. As a result, caution must be exercised in relying on forward-looking statements, which speak only as of the date they were made. Factors that could cause actual results to differ materially from those expressed or implied in forward-looking statements can be found in the Company's most recent Annual Report on Form 10-K and subsequent reports filed with the Securities and Exchange Commission. These filings identify and address other important risks and uncertainties that could cause actual events and results to differ materially from those contained in the forward-looking statements. Readers are cautioned not to put undue reliance on forward-looking statements, and Jet.AI assumes no obligation and does not intend to update or revise these forward-looking statements, whether because of new information, future events, or otherwise, except as provided by law.
Jet.AI Investor Relations:
Gateway Group, Inc.
949-574-3860
Jet.AI@gateway-grp.com
JET.AI, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(UNAUDITED)
| June 30, | December 31, | |||||||
| 2025 | 2024 | |||||||
| Assets | ||||||||
| Current assets: | ||||||||
| Cash and cash equivalents | $ | 8,265,732 | $ | 5,872,627 | ||||
| Accounts receivable | 112,079 | 132,230 | ||||||
| Note receivable - related party | 35,995 | - | ||||||
| Deferred offering costs | 45,000 | - | ||||||
| Other current assets | 199,706 | 357,751 | ||||||
| Total current assets | 8,658,512 | 6,362,608 | ||||||
| Property and equipment, net | 3,780 | 5,055 | ||||||
| Intangible assets, net | 86,745 | 86,745 | ||||||
| Right-of-use lease asset | 780,499 | 1,048,354 | ||||||
| Investment in joint venture | 100,000 | 100,000 | ||||||
| Deposit on aircraft | 4,050,000 | 2,400,000 | ||||||
| Deposits and other assets | 785,561 | 794,561 | ||||||
| Total assets | $ | 14,465,097 | $ | 10,797,323 | ||||
| Liabilities and Stockholders' Equity | ||||||||
| Current liabilities: | ||||||||
| Accounts payable | $ | 367,361 | $ | 280,450 | ||||
| Accrued liabilities | 1,362,654 | 1,663,338 | ||||||
| Deferred revenue | 647,857 | 1,319,746 | ||||||
| Operating lease liability | 533,480 | 525,547 | ||||||
| Total current liabilities | 2,911,352 | 3,789,081 | ||||||
| Lease liability, net of current portion | 227,044 | 495,782 | ||||||
| Total liabilities | 3,138,396 | 4,284,863 | ||||||
| Commitments and contingencies (Note 2 and 6) | - | - | ||||||
| Stockholders' Equity | ||||||||
| Preferred Stock, 4,000,000 shares authorized, par value $0.0001, 0 issued and outstanding | - | - | ||||||
| Series B Convertible Preferred Stock, 5,000 shares authorized, par value $0.0001, 989 and 250 issued and outstanding | - | - | ||||||
| Common stock, 200,000,000 shares authorized, par value $0.0001, 3,261,701 and 1,629,861 issued and outstanding | 326 | 162 | ||||||
| Subscription receivable | (6,724 | ) | (6,724 | ) | ||||
| Additional paid-in capital | 69,434,004 | 59,065,100 | ||||||
| Accumulated deficit | (58,100,905 | ) | (52,546,078 | ) | ||||
| Total stockholders' equity | 11,326,701 | 6,512,460 | ||||||
| Total liabilities and stockholders' equity | $ | 14,465,097 | $ | 10,797,323 | ||||
JET.AI, INC.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(UNAUDITED)
| Three Months Ended | Six Months Ended | |||||||||||||||
| June 30, | June 30, | |||||||||||||||
| 2025 | 2024 | 2025 | 2024 | |||||||||||||
| Revenues | $ | 2,225,900 | $ | 3,083,884 | $ | 5,700,538 | $ | 6,932,482 | ||||||||
| Cost of revenues | 2,336,200 | 3,500,880 | 5,926,352 | 7,473,834 | ||||||||||||
| Gross loss | (110,300 | ) | (416,996 | ) | (225,814 | ) | (541,352 | ) | ||||||||
| Operating Expenses: | ||||||||||||||||
| General and administrative (including stock-based compensation of $763,132, $1,201,728, $1,314,068, and $2,401,046, respectively) | 2,246,980 | 2,663,753 | 4,899,407 | 5,210,047 | ||||||||||||
| Sales and marketing | 81,601 | 102,470 | 376,009 | 549,070 | ||||||||||||
| Research and development | 41,044 | 37,396 | 149,968 | 69,942 | ||||||||||||
| Total operating expenses | 2,369,625 | 2,803,619 | 5,425,384 | 5,829,059 | ||||||||||||
| Operating loss | (2,479,925 | ) | (3,220,615 | ) | (5,651,198 | ) | (6,370,411 | ) | ||||||||
| Other (income) expense: | ||||||||||||||||
| Interest expense | - | - | - | 79,314 | ||||||||||||
| Other (income) expense | (94,902 | ) | (59 | ) | (96,371 | ) | (120 | ) | ||||||||
| Total other (income) expense | (94,902 | ) | (59 | ) | (96,371 | ) | 79,194 | |||||||||
| Loss before provision for income taxes | (2,385,023 | ) | (3,220,556 | ) | (5,554,827 | ) | (6,449,605 | ) | ||||||||
| Provision for income taxes | - | - | - | - | ||||||||||||
| Net Loss | $ | (2,385,023 | ) | $ | (3,220,556 | ) | $ | (5,554,827 | ) | $ | (6,449,605 | ) | ||||
| Cumulative preferred stock dividends | - | 29,727 | - | 59,455 | ||||||||||||
| Net Loss to common stockholders | $ | (2,385,023 | ) | $ | (3,250,283 | ) | $ | (5,554,827 | ) | $ | (6,509,060 | ) | ||||
| Weighted average shares outstanding - basic and diluted | 2,583,667 | 57,362 | 2,315,946 | 54,331 | ||||||||||||
| Net loss per share - basic and diluted | $ | (0.92 | ) | $ | (56.66 | ) | $ | (2.40 | ) | $ | (119.80 | ) | ||||
JET.AI, INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
(UNAUDITED)
| Six Months Ended | ||||||||
| June 30, | ||||||||
| 2025 | 2024 | |||||||
| CASH FLOWS FROM OPERATING ACTIVITIES: | ||||||||
| Net loss | $ | (5,554,827 | ) | $ | (6,449,605 | ) | ||
| Adjustments to reconcile net loss to net cash used in operating activities: | ||||||||
| Amortization and depreciation | 1,275 | 67,626 | ||||||
| Amortization of debt discount | - | 80,761 | ||||||
| Stock-based compensation | 1,314,068 | 2,401,046 | ||||||
| Non-cash operating lease costs | 267,855 | 260,157 | ||||||
| Changes in operating assets and liabilities: | ||||||||
| Accounts receivable | 20,151 | (439,436 | ) | |||||
| Other current assets | 158,045 | 117,302 | ||||||
| Deferred offering costs | (45,000 | ) | - | |||||
| Accounts payable | 86,911 | (141,764 | ) | |||||
| Accrued liabilities | (300,684 | ) | 331,915 | |||||
| Deferred revenue | (671,889 | ) | (680,328 | ) | ||||
| Operating lease liability | (260,805 | ) | (253,107 | ) | ||||
| Net cash used in operating activities | (4,984,900 | ) | (4,705,433 | ) | ||||
| CASH FLOWS FROM INVESTING ACTIVITIES: | ||||||||
| Advances under related party promissory note | (35,995 | ) | - | |||||
| Purchase of intangible assets | - | (12,921 | ) | |||||
| Deposit on aircraft | (1,650,000 | ) | - | |||||
| Deposits and other assets | 9,000 | (100 | ) | |||||
| Net cash used in investing activities | (1,676,995 | ) | (13,021 | ) | ||||
| CASH FLOWS FROM FINANCING ACTIVITIES: | ||||||||
| Repayments of notes payable | - | (371,250 | ) | |||||
| Repayments of related party notes payable | - | (297,500 | ) | |||||
| Offering costs | (1,945,000 | ) | (155,000 | ) | ||||
| Proceeds from exercise of common stock warrants | - | 742,474 | ||||||
| Proceeds from exercise of Series B Convertible Preferred Stock warrants | 11,000,000 | - | ||||||
| Proceeds from sale of Series B Preferred Stock | - | 1,500,025 | ||||||
| Proceeds from sale of Common Stock | - | 1,727,279 | ||||||
| Net cash provided by financing activities | 9,055,000 | 3,146,028 | ||||||
| Increase (decrease) in cash and cash equivalents | 2,393,105 | (1,572,426 | ) | |||||
| Cash and cash equivalents, beginning of period | 5,872,627 | 2,100,543 | ||||||
| Cash and cash equivalents, end of period | $ | 8,265,732 | $ | 528,117 | ||||
| Supplemental disclosures of cash flow information: | ||||||||
| Cash paid for interest | $ | - | $ | 79,314 | ||||
| Cash paid for income taxes | $ | - | $ | - | ||||
| Non-cash financing activities: | ||||||||
| Issuance of Common Stock for Series B Preferred Stock conversion | $ | 146 | $ | - | ||||
