Category: FLYHT Aerospace Solutions

  • FLYHT Announces Shareholder Approval of its Acquisition by Firan Technology Group Corporation

    CALGARY, AB / ACCESSWIRE / December 16, 2024 / FLYHT Aerospace Solutions Ltd. (“FLYHT” or the “Company”) (TSXV:FLY)(OTCQX:FLYLF) is pleased to announce that holders (the “Company Shareholders”) of its common shares (the “Common Shares”) have voted in favour of the previously announced acquisition of FLYHT by Firan Technology Group Corporation (TSX:FTG)(OTCQX:FTGFF) (“FTG”) by way of plan of arrangement under the Canada Business Corporations Act (the “Arrangement”) at FLYHT’s special meeting of shareholders (the “Meeting”) held on December 16, 2024.The completion of the Arrangement required the approval of at least two‐thirds of the votes cast at the Meeting in person or by proxy by Company Shareholders.

    The voting results from the Meeting are as follows:

    Votes FOR%Votes AGAINST%
    Holders of Common Shares16,513,03997.867%359,9822.133%

    Subject to receipt of a final order in respect of the Arrangement from the Court of King’s Bench of Alberta and satisfaction or waiver of the other conditions to closing contained in the arrangement agreement between FLYHT and FTG dated October 21, 2024, the Arrangement is expected to close on or about December 20, 2024.

    About FLYHT Aerospace Solutions Ltd.

    FLYHT provides airlines with Actionable Intelligence to transform operational insight into immediate, quantifiable action, and delivers industry leading solutions to improve aviation safety, efficiency, and profitability. This unique capability is driven by a suite of patented aircraft certified hardware products, AFIRS™. Solutions include an aircraft satcom/interface device that enables cockpit voice communications, the transmission of aircraft data both inflight via satellite and post-flight via 5G, real-time aircraft state and fleet status analysis, and preventative maintenance solutions. FLYHT’s hardware products can also be interfaced with FLYHT’s proprietary relative humidity sensors to deliver airborne weather and humidity data in real-time. FLYHT is headquartered in Calgary, Canada, and is an AS9100 Quality registered company. For more information, visit www.flyht.com.

    About Firan Technology Group Corporation

    FTG is an aerospace and defence electronics product and subsystem supplier to customers around the globe. FTG has two operating units:

    FTG Circuits is a manufacturer of high technology, high reliability printed circuit boards. Our customers are leaders in the aviation, defence, and high technology industries. FTG Circuits has operations in Toronto, Ontario, Chatsworth, California, Fredericksburg, Virginia, Minnetonka, Minnesota, Haverhill, Massachusetts and a joint venture in Tianjin, China.

    FTG Aerospace manufactures and repairs illuminated cockpit panels, keyboards and electronic assemblies for original equipment manufacturers of aerospace and defence equipment. FTG Aerospace has operations in Toronto, Ontario, Chatsworth, California, and Tianjin, China.

    FTG’s common shares are traded on the Toronto Stock Exchange under the symbol FTG.

    The forward-looking information contained in this news release is expressly qualified by this cautionary statement. FLYHT undertakes no duty to update any of the forward-looking information to conform such information to actual results or to changes in our expectations except as otherwise required by applicable securities legislation. Readers are cautioned not to place undue reliance on forward-looking information.

  • FLYHT Extends Software Services Agreement for Middle East Customer

    CALGARY, AB / ACCESSWIRE / December 12, 2024 / FLYHT Aerospace Solutions Ltd. (“FLYHT” or the “Company”) (TSXV:FLY)(OTCQX:FLYLF) today announced that it has signed a multi-year contract renewal to provide recurring software services for a military customer located in the Middle East. The renewed agreement will help the end customer to continue to improve flight operations and maximize its efficiency.

    The military customer is renewing a suite of software, voice and data services across its fleet of 23 C-130 Hercules aircraft. This includes FLYHTLogTM (automated block and flight times), FLYHTFollowTM (global flight tracking and alerting), two-way text messaging and satcom voice.

    “We are honored to extend these services to support the end customer’s military operations,” commented Derek Taylor, VP Strategic Opportunities at FLYHT. “This multi-year renewal further validates the value of the AFIRS solution for their ongoing operational requirements and missions.”

    This contract renewal is valued at approximately US$1.9 million, provided that all services are delivered over the three-year term of the agreement.

    About FLYHT Aerospace Solutions Ltd.

    FLYHT provides airlines with Actionable Intelligence to transform operational insight into immediate, quantifiable action, and delivers industry leading solutions to improve aviation safety, efficiency, and profitability. This unique capability is driven by a suite of patented aircraft certified hardware products, AFIRS™. Solutions include an aircraft satcom/interface device that enables cockpit voice communications, transmission of aircraft data both while inflight via satellite and post-flight via 5G, real-time aircraft state and fleet status analysis, and preventative maintenance solutions. FLYHT’s hardware products can also be interfaced with FLYHT’s proprietary relative humidity sensors to deliver airborne weather and humidity data in real-time.

    FLYHT is headquartered in Calgary, Canada, and is an AS9100 Quality registered company. For more information, visit www.flyht.com.

  • FLYHT Reports Third Quarter 2024 Results

    Calgary, Alberta – November 13, 2024 – FLYHT Aerospace Solutions Ltd. (TSX-V: FLY) (OTCQX: FLYLF) (the “Company” or “FLYHT”) today reported financial results for the third quarter ended September 30, 2024 (“Q3 2024”). All figures are Canadian dollars unless otherwise stated.
    Financial Summary

     Three Months Ended September 30 Nine Months Ended September 30
     20242023Inc./ Dec. 20242023Inc./ Dec.
    Revenue$4,398,225$5,099,019-14% $13,500,818$15,899,792-15%
      SaaS2,167,0032,787,664-22% 7,638,3867,891,437-3%
      Hardware1,061,8221,001,8176% 2,353,1103,945,523-40%
      Licensing22,889494,573-95% 102,9791,936,574-95%
      Technical Services1,146,511814,96541% 3,406,3432,126,25860%
    Gross Margin56.8%58.7%-190 bp 61.0%58.6%220 bp
    Adjusted EBITDA(1,034,678)(430,865)NM (3,009,600)(1,606,734)NM
    Net Loss(2,244,504)(728,655)NM (4,835,017)(2,554,576)NM
    EPS – Basic & Diluted(0.05)(0.02)(0.03) (0.12)(0.07)(0.05)

    Operating Results
    Revenue decreased by 14% to $4,398,225 in Q3 2024 compared to Q3 2023, driven by declines in SaaS and Licensing, which more than offset increases in Hardware and Technical Services. SaaS revenue decreased by 22% to $2,167,003, driven by a decrease in TAMDAR soundings, and Licensing revenue decreased by 95% to $22,889 due to differences in orders from our long-term OEM customer. Hardware revenue increased 6% to $1,061,822 with a total of 11 installations kits shipped in Q3 2024 compared to 18 kits shipped in Q3 2023, mainly due to installation schedules for our contracted AFIRS 228 product and per kit pricing variances. Technical Services revenue increased by 41% to $1,146,511 due to an increased amount of AMOS data migration work completed and an increase in certification services provided.

    Gross margin was 56.8% of revenue in Q3 2024 compared to 58.7% in Q3 2023. The increase in gross margin was due primarily to changes in the mix of revenue sources during the quarter. 

    Operating expenses increased by 24% from Q3 2023, mainly driven by $719,508 of non-recurring expenses associated with the restructuring. Excluding the non-recurring costs, operating expenses would have increased by 4%. Distribution expenses increased by 13%, reflecting an increased focus on sales and marketing for our Edge products. Research, Development and Certification Engineering expenses increased by 8%, mainly driven by contract labour reflecting the final push required to complete the AFIRS Edge+ and FLYHT-WVSS-II development work, moving those products into their new phase of commercialization, including required certifications. Administration expenses increased by 62% mainly due to the restructuring.

    Negative Adjusted EBITDA totaled $1,034,678 in Q3 2024, excluding $719,508 of non-recurring restructuring expenses, compared to negative EBITDA of $430,865 in Q3 2023.

    Net loss was $2,244,504 in Q3 2024 compared to a net loss of $728,655 in Q3 2023.

    Balance Sheet and Liquidity
    Cash and short-term investments totaled $1,289,217 at September 30, 2024, compared to $1,542,203 at December 31, 2023.

    Trade and other receivables decreased by 25% to $2,175,408 compared to YE 2023, and Trade payables and accrued liabilities increased by 13% to $3,505,481 compared to YE 2023.

    About FLYHT Aerospace Solutions Ltd.

    FLYHT provides airlines with Actionable Intelligence to transform operational insight into immediate, quantifiable action, and delivers industry leading solutions to improve aviation safety, efficiency, and profitability. This unique capability is driven by a suite of patented aircraft certified hardware products, AFIRS™. Solutions include an aircraft satcom/interface device that enables cockpit voice communications, the transmission of aircraft data both inflight via satellite and post-flight via 5G, real-time aircraft state and fleet status analysis, and preventative maintenance solutions. FLYHT’s hardware products can also be interfaced with FLYHT’s proprietary relative humidity sensors to deliver airborne weather and humidity data in real-time. FLYHT is headquartered in Calgary, Canada, and is an AS9100 Quality registered company. For more information, visit www.flyht.com.

  • FLYHT Strengthens Partnership with WestJet for AFIRS™ 228 Order on Boeing 737 MAX-10 Fleet

    Calgary, Alberta – November 13, 2024 – FLYHT Aerospace Solutions Ltd. (TSX-V: FLY) (OTCQX: FLYLF) (the “Company” or “FLYHT”) today announced that it received an order from WestJet Airlines, Ltd. to install the Company’s TSO approved AFIRS™ 228S satcom solution on WestJet’s fleet of Boeing 737 MAX-10 aircraft.

    “As we execute on our fleet growth and modernization plan, FLYHT’s Iridium satcom solution provides us with the long-range data and voice communications that we require, while enabling us to maintain fleet commonality across our aircraft types,” said Gandeephan Ganeshalingam, WestJet Vice-President Technical operations. “We are pleased with FLYHT’s solutions on our 737 MAX-8 and 737NG aircraft, and are confident to utilize the product following the delivery of our Boeing 737 MAX-10 aircraft.”

    “WestJet’s order of the AFIRS 228S TSO for their fleet of Boeing 737 MAX-10 aircraft expands our long-standing and valued relationship and is the latest demonstration of the strength of our AFIRS 228 product line,” commented Darrel Deane, Chief Revenue Officer at FLYHT. “The solution enables WestJet and other airlines with MAX-10 aircraft on order to install and activate the AFIRS 228S TSO for safety services functions immediately after delivery. This contract deepens our relationship with WestJet and opens up additional growth potential for FLYHT.”

    This increase to the contract previously announced in 2020 is valued at approximately US$900,000, provided that all products and services are delivered over the contract term.

    About FLYHT Aerospace Solutions Ltd.
    FLYHT provides airlines with Actionable Intelligence to transform operational insight into immediate, quantifiable action, and delivers industry leading solutions to improve aviation safety, efficiency, and profitability. This unique capability is driven by a suite of patented aircraft certified hardware products. These include AFIRS™, an aircraft satcom/interface device that enables cockpit voice communications, real-time aircraft state analysis, and the transmission of aircraft data while inflight. The AFIRS Edge is a state-of-the-art 5G Wireless Quick Access Recorder (WQAR), Aircraft Interface Device (AID), and Aircraft Condition and Monitoring System (ACMS). The Edge can be interfaced with FLYHT’s TAMDAR probe or the FLYHT-WVSS-II relative humidity sensor to deliver airborne weather and humidity data in real-time.

    FLYHT is headquartered in Calgary, Canada, and is an AS9100 Quality registered company. For more information, visit www.flyht.com.

  • FLYHT Enters Into Definitive Agreement to be Acquired by Firan Technology Group

    • FLYHT Shareholders Entitled to Elect Cash or FTG Shares, Subject to Pro-ration, at a 41% Premium
    • Transaction Will Allow FLYHT Shareholders to Participate in Significant Potential Future Upside with Profitable Scaled Entity and Positions FLYHT to Accelerate Commercialization of AFIRS Edge

    Calgary, Alberta – October 21, 2024 – FLYHT Aerospace Solutions Ltd. (TSX-V: FLY) (OTCQX: FLYLF) (the “Company” or “FLYHT”) ) today announced that it has entered into a definitive arrangement agreement (the “Agreement”) to be acquired by Firan Technology Group Corporation (TSX: FTG) (OTCQX: FTGFF) (“FTG”), a global corporation providing solutions for aerospace and defense electronic products and sub-systems, in a cash and share transaction valued at approximately CAD$13.2 million (the “Transaction”). The consideration is comprised of cash and common shares of FTG (“FTG Shares”). The arm’s length Transaction is to be effected by way of a court-approved plan of arrangement (the “Arrangement”).

    Under the Arrangement, FLYHT shareholders may elect to receive, for each common share of FLYHT held (a “Common Share”) (i) CAD$0.1103 in cash and 0.0333 FTG Shares, (ii) CAD$0.3379 in cash or (iii) 0.0495 FTG Shares, in each case subject to pro-ration (collectively, the “Consideration”). The Consideration will be subject to maximum aggregate cash consideration of CAD$4.3 million and 1,300,000 FTG Shares. Shareholders who do not make an election will be deemed to have elected to receive a combination of cash and FTG Shares for their Common Shares.

    The Consideration implies a price of CAD$0.3379 per Common Share, representing a 41% premium to the closing price of the Common Shares on the TSX Venture Exchange on October 21, 2024 and a 46% premium to the 10-day volume-weighted average price per Common Share for the period ended on October 21, 2024.

    The Transaction is subject to receipt of FLYHT shareholder and court approvals, any required regulatory approvals and consents, and customary closing conditions and is expected to close in the fourth quarter of 2024. Completion of the Transaction is not subject to any financing condition. Upon the completion of the Transaction, FLYHT will become a wholly owned subsidiary of FTG.

    Further details on the Transaction, the consideration and other related matters will be included in the management information circular to be mailed to FLYHT shareholders in connection with the special meeting of FLYHT shareholders to be held to approve the Arrangement.

    “Today marks a milestone for FLYHT as we join forces with one of the world’s leading suppliers of aerospace and defense electronic products,” said Mary McMillan, Interim CEO and Executive Chairman of FLYHT. “Our team has done an excellent job of developing the AFIRS Edge product line, the industry’s first 5G compatible wireless QAR (WQAR) and aircraft interface device (AID), while meeting our existing customers’ continued needs for high reliability satcom solutions and software applications. We look forward to the accelerated growth opportunities enabled by the combination of our two companies.”

    Added McMillan, “This transaction follows a strategic process that has been overseen and approved by the Board of Directors. With this transaction, we are pleased to deliver value to our dedicated stockholders, find a well-aligned company culture for our valuable people, and position FLYHT to embark on its next phase of growth as part of an industry-leading corporation.”

    Brad Bourne, CEO of FTG, said, “We’re thrilled to partner with the FLYHT team to keep building on the strong portfolio of aftermarket 5G avionics and weather solutions they’ve created for the commercial aviation industry. FLYHT is tightly aligned with our corporate development strategic objectives including dramatically increasing FTG’s aftermarket sales in the commercial aerospace market and increasing our exposure with Airbus as the FLYHT designed Satcom product is a factory option on all Airbus aircraft.  The FLYHT product portfolio is already used by some of the world’s most respected airlines and national weather agencies to meet the communications and environmental challenges they are facing today. Our shared vision, coupled with FTG’s experienced leadership, operational excellence, financial strength, and scaled platform, will support FLYHT to accelerate its growth initiatives and better serve its customers during this exciting next chapter for the company. We see an extensive runway ahead for product innovation and profitable growth for our combined teams.”

    Recommendation of the FLYHT Board of Directors

    After careful consideration of, among other things, the recommendations and reasons of the special committee of FLYHT’s board of directors, the fairness opinion, the advice of legal and financial advisors, and such other matters as it considered relevant, FLYHT’s board of directors has unanimously concluded that the Transaction is in the best interests of FLYHT and recommends that FLYHT shareholders vote in favour of the Transaction. KSV Advisory Inc. (“KSV”), independent financial advisor to FLYHT’s board of directors, has delivered a fairness opinion to FLYHT’s board of directors stating that, as of the date thereof and, based upon and subject to the assumptions, qualifications, and limitations stated in such opinion and such other matters KSV considered relevant, the consideration to be received under the Arrangement by shareholders of FLYHT is fair, from a financial point of view, to the FLYHT shareholders.  
    Pursuant to its engagement letter with FLYHT’s board of directors, KSV will receive a fee for the delivery of the fairness opinion. No fees payable to KSV are contingent on the conclusions reached in the fairness opinion or on the outcome of the Transaction.

    About FLYHT Aerospace Solutions Ltd.

    FLYHT provides airlines with Actionable Intelligence to transform operational insight into immediate, quantifiable action, and delivers industry leading solutions to improve aviation safety, efficiency, and profitability. This unique capability is driven by a suite of patented aircraft certified hardware products, AFIRS™. Solutions include an aircraft satcom/interface device that enables cockpit voice communications, the transmission of aircraft data both inflight via satellite and post-flight via 5G, real-time aircraft state and fleet status analysis, and preventative maintenance solutions. FLYHT’s hardware products can also be interfaced with FLYHT’s proprietary relative humidity sensors to deliver airborne weather and humidity data in real-time. FLYHT is headquartered in Calgary, Canada, and is an AS9100 Quality registered company. For more information, visit www.flyht.com.

    About Firan Technology Group Corporation

    FTG is an aerospace and defence electronics product and subsystem supplier to customers around the globe. FTG has two operating units:

    FTG Circuits is a manufacturer of high technology, high reliability printed circuit boards. Our customers are leaders in the aviation, defence, and high technology industries. FTG Circuits has operations in Toronto, Ontario, Chatsworth, California, Fredericksburg, Virginia, Minnetonka, Minnesota, Haverhill, Massachusetts and a joint venture in Tianjin, China.

    FTG Aerospace manufactures and repairs illuminated cockpit panels, keyboards and electronic assemblies for original equipment manufacturers of aerospace and defence equipment. FTG Aerospace has operations in Toronto, Ontario, Chatsworth, California, and Tianjin, China. FTG’s common shares are traded on the Toronto Stock Exchange under the symbol FTG.

  • WestJet Partners with FLYHT and NOAA to Improve Weather Forecasting in North America

    Airline Partner to Leverage FLYHT’s Weather Solutions to Provide NOAA with Critical Real-Time Humidity Data

    Calgary, Alberta – September 19, 2024 – FLYHT Aerospace Solutions Ltd. (TSX-V: FLY) (OTCQX: FLYLF) (the “Company” or “FLYHT”) today announced that WestJet Airlines has agreed to collaborate with the Company and the National Oceanic and Atmospheric Administration (NOAA) to improve the accuracy of weather forecasts and the prediction of localized severe weather in North America. The partnership with WestJet will focus initially on providing NOAA with additional humidity, temperature and wind observations in the data sparse regions over the Pacific where the airline flies routes.

    As the airline partner to this important NOAA weather program, WestJet will install FLYHT’s weather solutions on three Boeing 737 MAX and two Boeing 737-800NG aircraft flying Pacific routes. Each installation will include a package of FLYHT-WVSS-II atmospheric water vapor sensors to continuously monitor environmental conditions around the aircraft during flight. The sensors will be fully integrated with FLYHT’s Edge multi-channel WQAR and Certus SatCom for real-time in-flight communication and data transmission. Thereafter, the aircraft-based observations (ABO) data will flow through the National Mesonet Program to provide NOAA with enroute data as well as vertical profiles of wind, temperature and moisture.

    The readings will provide NOAA with valuable atmospheric data to fill in coverage gaps provided by other observing systems. One such gap is the geographic region off the West Coast of the United States and extending westward and southward into the central tropical Pacific Ocean – an area well-known for the “Atmospheric River” phenomena which can occasionally result in flooding rainfalls and heavy mountain snows in the Western U.S. Quantifying the amount of moisture in the atmosphere will result in better forecasts that will be of great value for public safety and water resources communities.

    “We’re honored to welcome WestJet as the airline partner for FLYHT’s expanded weather program with NOAA,” commented Murray Skelton, VP Business Development and Weather Solutions. “WestJet is a forward-thinking organization that flies routes over data sparse regions of the Pacific Ocean, making them ideally suited to capture the coverage gaps that exist with the current humidity observations being provided to NOAA. We’re excited to move this initiative with NOAA forward and expand our relationship with WestJet.”

    “WestJet is proud to partner with FLYHT and NOAA, as we leverage their innovative solutions to improve our weather forecasting accuracy, which further enhances our ability to increase safety and improve fuel efficiency through optimized flight planning,” said Scott Wilson, WestJet, Vice-President, Operations.

    Said Curtis Marshall, Ph.D., Director of the NWS Commercial Data Program and Chair of the WMO Expert Team on Aircraft Based Observations, “We are pleased to partner with FLYHT and WestJet for the installation of water vapor sensors on aircraft, the first such installations in a decade on aircraft to provide meteorological observations to NWS, and in this data void region of the Pacific where we expect additional observations to improve our forecasts.”

    The initial hardware installs are expected to commence in early 2025 and are being funded with FY 2023 appropriations of $500,000 that FLYHT was awarded in September 2023 (see here).

    About FLYHT Aerospace Solutions Ltd.

    FLYHT provides airlines with Actionable Intelligence to transform operational insight into immediate, quantifiable action, and delivers industry leading solutions to improve aviation safety, efficiency, and profitability. This unique capability is driven by a suite of patented aircraft certified hardware products, AFIRS™. Solutions include an aircraft satcom/interface device that enables cockpit voice communications, the transmission of aircraft data both inflight via satellite and post-flight via 5G, real-time aircraft state and fleet status analysis, and preventative maintenance solutions. FLYHT’s hardware products can also be interfaced with FLYHT’s proprietary relative humidity sensors to deliver airborne weather and humidity data in real-time.

    FLYHT is headquartered in Calgary, Canada, and is an AS9100 Quality registered company. For more information, visit www.flyht.com.

  • FLYHT Celebrates Successful Edge Integration with Air North

    Calgary, Alberta – September 18, 2024 – FLYHT Aerospace Solutions Ltd. (TSX-V: FLY) (OTCQX: FLYLF) (the “Company” or “FLYHT”) today announced the successful integration of the Company’s industry leading 5G AFIRS EdgeTM solution with Air North, Yukon’s Airline into their Boeing 737 NG operations bringing efficiencies such as automated post-flight data download for their flight safety program, Aircraft Interface Device (AID) functionality to connect the pilots to key aircraft data, and power over Ethernet to charge iPads to enhance cockpit crew operation. FLYHT’s AFIRS 228 Iridium SatCom will power Air North’s real-time access to FLYHTHealth™, FLYHTLog™, aircraft tracking, and voice services, while the Edge provides reports on aircraft system health and flight data downloads.

    Per the agreement signed in October 2023, Air North has agreed to purchase FLYHT’s innovative hardware and software services as part of the Yukon airline’s fleet renewal plans. In June 2024, Air North was the STC partner on Boeing 737 NG aircraft for the AFIRS Edge.

    “The commencement of Edge 5G data transfer operations at Air North validates the technology that we have pioneered with the flange version of the Edge,” commented Derek Taylor, Vice President of Strategic Opportunities at FLYHT. “Air North has been our trusted STC partner, and we are excited to provide them with wireless access to their aircraft data.”

    Joe Sparling, Air North’s President and CEO, said, “The next generation technology provided by the Edge allows us to meet our goals to improve connectivity and realize greater operational efficiencies. We look forward to installing the solution on additional aircraft as we modernize our B737 Classic fleet.”  

    Find out more here about the AFIRS Edge, the world’s first 5G wireless quick access recorder (WQAR) and aircraft interface device (AID): https://flyht.com/airborne-hardware/afirs-edge/.

    About Air North, Yukon’s Airline

    Based out of Whitehorse, Yukon, Canada, Air North operates a fleet of Boeing 737 jets and ATR 42 turboprops on routes throughout Yukon and to the Northwest Territories, British Columbia, Alberta, and seasonally to Ontario. The airline was founded in 1977 and is 49% owned by the Vuntut Gwitchin First Nation, with one in 15 Yukoners having an equity or employment stake in the airline. In 2020, Air North received the Travellers’ Choice Award for Best Airline in Canada and Best Airline (Specialty and Leisure) in North America based upon passenger reviews.

    About FLYHT Aerospace Solutions Ltd.
    FLYHT provides airlines with Actionable Intelligence to transform operational insight into immediate, quantifiable action, and delivers industry leading solutions to improve aviation safety, efficiency, and profitability. This unique capability is driven by a suite of patented aircraft certified hardware products. These include AFIRS™, an aircraft satcom/interface device that enables cockpit voice communications, real-time aircraft state analysis, and the transmission of aircraft data while inflight. The AFIRS Edge is a state-of-the-art 5G Wireless Quick Access Recorder (WQAR), Aircraft Interface Device (AID), and Aircraft Condition and Monitoring System (ACMS). The Edge can be interfaced with FLYHT’s TAMDAR probe or the FLYHT-WVSS-II relative humidity sensor to deliver airborne weather and humidity data in real-time.

    FLYHT is headquartered in Calgary, Canada, and is an AS9100 Quality registered company. For more information, visit www.flyht.com.

  • FLYHT Reports Second Quarter 2024 Results

    CALGARY, AB / ACCESSWIRE / August 28, 2024 / FLYHT Aerospace Solutions Ltd. (TSXV:FLY)(OTCQX:FLYLF) (the “Company” or “FLYHT”) today reported financial results for the second quarter ended June 30, 2024 (“Q2 2024”). All figures are Canadian dollars unless otherwise stated.

    Management Commentary

    “FLYHT is at an exciting and critical juncture,” said Mary McMillan, Interim CEO and Executive Chair of the Board at FLYHT. “With the development of the AFIRS EdgeTM+ functionally complete, we are now focused on sales of the Edge to new and existing customers and on achieving positive EBITDA on a sustainable basis.”

    Continued McMillan, “As announced in the quarter, FLYHT received a Supplemental Type Certificate (“STC”) from Transport Canada for the flange version of the 5G AFIRS Edge on Boeing 737 aircraft. We now have two STC’s in Canada and have a clear path to obtaining additional aircraft certifications for both the Airbus A320 and Boeing 737 aircraft. These two aircraft types are the most popular aircraft in key global markets creating a huge pipeline of commercial opportunities for our product. Our weather solutions continue to expand with the receipt of an additional purchase order from the U.S. National Oceanic and Atmospheric Administration (NOAA) for the FLYHT-WVSS-II humidity sensors. Our European division, CrossConsense continues to perform well and recently secured two new contracts, demonstrating the growing demand for its Maintenance Repair Organization (MRO) offering.”

    Added Alana Forbes, CFO, “In recent months we have taken decisive action to strengthen our financial position and reduce costs. This includes a $5 million unsecured debenture arrangement in June that raised significant capital to support our growth plans, and a strategic restructuring in August that will deliver $1.75 million in annual cost savings. As a result of these and other actions, we are now on an accelerated path to profitability and believe that we have the capital on our books today to get us there.”

    Concluded McMillan, “Looking to the second half of the year, we are laser-focused on the conversion of our sizeable pipeline to sales. With a strengthened balance sheet, a world class product that we believe will rapidly penetrate the market, and a lower fixed cost base, we enter the next chapter squarely set on driving revenue growth and realizing positive EBITDA.”

    Operating Results

    Revenue decreased by 29% to $4,311,999 in Q2 2024 compared to Q2 2023, mainly driven by declines in Licensing and Hardware. SaaS revenue increased by 1% to $2,707,667, driven by an increase in customers’ pricing structure. Hardware revenue decreased 46% to $627,756 with a total of 6 installations kits shipped in Q2 2024 compared to 15 kits shipped in Q2 2023, mainly due to installation schedules for our contracted AFIRS 228 product and per kit pricing variances. Licensing revenue decreased by 100% to $931 due to differences in orders from our long-term OEM customer. Technical Services revenue increased by 31% to $975,645 due to an increased amount of AMOS data migration work completed and an increase in certification services provided.

    Gross margin was 61.9% of revenue in Q2 2024 compared to 59.6% in Q2 2023. The increase in gross margin was due primarily to changes in the mix of revenue sources during the quarter.

    Operating expenses increased by 17% from Q2 2023, driven by a 66% increase in Research, Development and Certification Engineering expenses, mainly driven by contract labour reflecting the final push required to complete the AFIRS Edge+ development work, moving that product into its new phase of commercialization, including required certifications. An increase of 5% in Distribution expenses was offset by an 8% decrease in Administration expenses.

    Negative EBITDA1 totaled $1,380,917 in Q2 2024 compared to positive EBITDA of $168,045 in Q2 2023.

    Net loss was $1,796,131 in Q2 2024 compared to a net loss of $168,807 in Q2 2023.

    Balance Sheet and Liquidity

    Cash and short-term investments totaled $2,518,339 at June 30, 2024, compared to $1,542,203 at December 31, 2023. The quarter end cash balance reflects additional capital from the $5,000,000 unsecured debenture arrangement completed in June (click here for press release).

    Trade and other receivables increased by 6% to $3,075,105 compared to YE 2023, and Trade payables and accrued liabilities increased by 11% to $3,436,504 compared to YE 2023.

    About FLYHT Aerospace Solutions Ltd.

    FLYHT provides airlines with Actionable Intelligence to transform operational insight into immediate, quantifiable action, and delivers industry leading solutions to improve aviation safety, efficiency, and profitability. This unique capability is driven by a suite of patented aircraft certified hardware products, AFIRS™. Solutions include an aircraft satcom/interface device that enables cockpit voice communications, transmission of aircraft data both while inflight via satellite and post-flight via 5G, real-time aircraft state and fleet status analysis, and preventative maintenance solutions. FLYHT’s hardware products can also be interfaced with FLYHT’s proprietary relative humidity sensors to deliver airborne weather and humidity data in real-time.

    FLYHT is headquartered in Calgary, Canada, and is an AS9100 Quality registered company. For more information, visit www.flyht.com.

  • FLYHT Announces Strategic Restructuring

    Restructure Expected to Contribute to $1.75 Million in Annual Savings

    Calgary, Alberta – August 22, 2024 – FLYHT Aerospace Solutions Ltd. (TSX-V: FLY) (OTCQX: FLYLF) (the “Company” or “FLYHT”) today announced a restructuring of its business operations to significantly reduce expenditures.

    “We have reached an exciting and critical juncture in the 25-year history of FLYHT,” said Mary McMillan, Interim CEO and Executive Chair of the Board. “After several years of hard work, the development of the AFIRS Edge product line is functionally complete. This milestone represents a significant achievement for our team and our company. As we move forward, we must now sharpen our focus, energy, and resources around sales and delivering our contracted backlog towards achieving positive EBITDA on a sustainable basis. There is both an opportunity and an imperative to retool the organization to focus on delivery of the promised returns to all our stakeholders while achieving significant cost savings.”

    Added McMillan, “Unfortunately, fallout from these actions involves parting ways with some team members who have played critical roles in getting us to where we are today. Their individual contributions cannot be understated, and I want to express my sincerest gratitude for their performance and commitment to FLYHT.”

    Concluded McMillan, “We are able to make this organizational change because we have substantially completed what we set out to do with the Edge: develop an industry leading 5G compatible wireless QAR (WQAR) and aircraft interface device (AID). We are releasing the 4MCU plug-in-replacement version, the Edge+, which we believe addresses the present and future requirements of the global airline community. The Edge+ is a world class ‘plug and play’ version which we believe will rapidly penetrate the market. Now is the time to focus on introducing the Edge products to the wider marketplace, deliver and grow our contracted backlog, including our weather portfolio and SATCOM solutions.”

    To support this sharpened focus, Darrel Deane will take on the role of Chief Revenue Office (formerly Vice President Solutions) and Gurjot Bhullar will take on the role of Chief Operating Officer (formerly Vice President Operations).

    These reductions will impact 20% of FLYHT’s workforce, and is expected to contribute to fixed cost savings of $1.75 million CAD on an annualized run-rate basis. FLYHT expects to record a one-time restructuring expense of approximately $770,000 in Q3 2024 related to the reduction in force, which includes severance payments and benefits to affected employees.

    About FLYHT Aerospace Solutions Ltd.

    FLYHT provides airlines with Actionable Intelligence to transform operational insight into immediate, quantifiable action, and delivers industry leading solutions to improve aviation safety, efficiency, and profitability. This unique capability is driven by a suite of patented aircraft certified hardware products, AFIRS™. Solutions include an aircraft satcom/interface device that enables cockpit voice communications, transmission of aircraft data both while inflight via satellite and post-flight via 5G, real-time aircraft state and fleet status analysis, and preventative maintenance solutions. FLYHT’s hardware products can also be interfaced with FLYHT’s proprietary relative humidity sensors to deliver airborne weather and humidity data in real-time.

    CrossConsense, FLYHT’s wholly owned subsidiary, offers highly skilled services to the commercial aviation industry and provides preventative maintenance solutions. These include Aircraft Fleet View, a native application that gives a real-time view of airline fleet status; AviationDW, a managed data warehouse for enhanced business intelligence; and ACSIS, a visualization and predictive maintenance alerting tool.

    FLYHT is headquartered in Calgary, Canada, and is an AS9100 Quality registered company. For more information, visit www.flyht.com.

  • FLYHT Announces CEO Changes

    Calgary, Alberta – August 21, 2024 – FLYHT Aerospace Solutions Ltd. (TSX-V: FLY) (OTCQX: FLYLF) (the “Company” or “FLYHT”) today announced the departure of Mr. Kent Jacobs as President and Interim Chief Executive Officer (“CEO”) of the Company, effective immediately. Executive Chair of the Board, Mary McMillan, has been named Interim CEO and will assume the CEO responsibilities, supported by Chief Financial Officer, Alana Forbes, and the Company’s executive leadership team. The Board plans to initiate a search to identify a permanent Chief Executive Officer for the Company.

    “We owe our heartfelt gratitude to Kent for his dedicated service to FLYHT over the past 23 years, and in particular for leading the company over the past two years as we have completed the development of the AFIRS Edge,” said McMillan. “Kent has shepherded the development of our 5G aviation solutions, maintained a strong and innovative culture since losing FLYHT’s founder, Bill Tempany, and put in place a solid foundation that sets our company up for success.”

    Added McMillan, “As we look ahead, our Board is fully committed to creating and delivering value to our shareholders. The person we identify to lead FLYHT going forward will share that deep commitment, and focus on accelerating the commercialization of the Edge, driving revenue, and bringing the Company to profitability and positive EBITDA on a sustainable basis.”

    About FLYHT Aerospace Solutions Ltd.
    FLYHT provides airlines with Actionable Intelligence to transform operational insight into immediate, quantifiable action, and delivers industry leading solutions to improve aviation safety, efficiency, and profitability. This unique capability is driven by a suite of patented aircraft certified hardware products, AFIRS™. Solutions include an aircraft satcom/interface device that enables cockpit voice communications, transmission of aircraft data both while inflight via satellite and post-flight via 5G, real-time aircraft state and fleet status analysis, and preventative maintenance solutions. FLYHT’s hardware products can also be interfaced with FLYHT’s proprietary relative humidity sensors to deliver airborne weather and humidity data in real-time.

    FLYHT is headquartered in Calgary, Canada, and is an AS9100 Quality registered company. For more information, visit www.flyht.com.