NetJets Profits

[h25b]

I must apologize as I will admit that, thus far, I was wrong about the contract costs affecting the profitability of the company. Which brings me to two questions.

1. Does the company have any long term fuel contracts that provides any protections against the increasing fuel costs ? (Are the owners getting nailed with surcharges?)

2. Is this latest profit more from operations or new share sales?

 

[Ultra Grump]

1. Does the company have any long term fuel contracts that provides any protections against the increasing fuel costs ? (Are the owners getting nailed with surcharges?)

The company passes increased fuel costs on to the owners.

2. Is this latest profit more from operations or new share sales?

"...reflecting a 23-percent increase in flight operations and management service revenues and increased fractional aircraft sales..."

 

[Going2Baja]

Two thoughts:

1) If profit is still there after the new contract I guess there is room for a pilots pay increase right??? (LOL)

2) On a serious note - At what point will the owners walk away when they keep getting hit with larger and larger fees (Pilot pay, Gas increases, Etc?)

I'm very glad to see the posted profit - Keep up the good work boys (and girls.)

Baja.

 

[h25b]

"...reflecting a 23-percent increase in flight operations and management service revenues and increased fractional aircraft sales..."

Yes, I read that, however it would be interesting to know the breakdown of that 23% increase. In other words, out of that increase how much could be attributed to increased share sales.

It's a lot easier to make money selling the things than it is operating them. If you have one gangbuster qtr. selling shares and then said sales falls flat you've got some problems for subsequent qtrs.

 

[Abbey]

The company passes increased fuel costs on to the owners.

Now there is a novel idea. Increasing the price of your product to adjust to the higher cost of producing your product.

 

[RNObased]

You are correct that the 4th quarter will be critical. Anyone can tell by looking at the last few years of financial results that we perform better financially in the 2nd and 3rd quarters and worse in the 1st and 4th. This is directly tied to the subcontract rate.

So Family Guy,
When or if scheduling blows the profits in the 4th quarter by silly ferry legs, subcontracting flights while our crews sit, and various other activities will someone finally listen to the pilots and fix that dept??? Or will it still be status quo????

 

[Hawkered]

Easy going on Family Guy there! First of all NOBODY could have predicted that we would be looking this good, this quickly. Second; we need to focus on not dropping the ball now we've finally been given a chance to run with it.

Scheduling has improved. We got five revenue legs in one day not long ago, and that is the first time I've ever seen that happen.

Good job in Columbus guys. We need to realize that a lot of people had tremendous fear going into this year of war and uncertainty. I'm just glad everything has worked out..so far.


Now, let's get back to work!

 

[ETDTBA]

Several reason contributed to profitability.
1. Less aircraft breaking, which means less subcontracting.
2. More restrictions being put on Marquis Jet card holders.
3. More efficient scheduling, less wasted ferry flights. They still do happen.
4. Over all cost cutting on everything.

P.S. I was never told nor never heard that the new pilots contract would bankrupt the company.

 

[gunfyter]

Family Guy and hawkered....

You did not address the point I was trying to make about the Reduction in Forces of Bridgeway and Easton folks.

Are we going to be hurt by saving a couple million in RIF but then paying for it by not having those assets available to do needed work.

 

[Diesel]

wow familyguy is back. talk about a blast from the past.