FLYHT - LETTER TO SHAREHOLDERShttps://sec.report/otc/financial-report/277784 LETTER TO SHAREHOLDERS
I do not think anyone in the world minded seeing 2020 come to a close. It was a difficult year for
so many, including the aviation industry and FLYHT. In a recent note to customers, Delta’s CEO
Ed Bastian said, “We’re hopeful for an inflection point in the spring where the virus will be more
contained, leading to the reopening of international borders and increased confidence in public
life.” While we at FLYHT share Ed Bastian’s cautious optimism, we know that hope is not a
strategy, so we have taken direct measures to ensure that we not only survive the pandemic
intact, but that we emerge on the other side in a strong position to return to growth and value
creation. We are hard at work to turn our hope for a better future into reality.
Throughout the pandemic, we have remained disciplined managers and stewards of your capital,
all while continuing to advance our strategy. We have conserved cash, scrutinized expenses
very carefully and aligned our resources with the products and services that will be most useful
for our customers to recover from this global economic disaster. Our efforts have enabled FLYHT
to finish 2020 with more cash than we started with, a roster of new and reborn clients that are
very glad to work with us to assist them in their recovery efforts, a revitalized team focused on
those efforts, and support from our board and shareholders to provide the right tools to our industry in its time of need. We have deployed
our existing tools in new and imaginative ways, have attracted launch customers for Actionable Intelligence helping define the high value
services we can add, and with the support of the Canadian and U.S. governments, kept our core competency of staff engaged and
productive while keeping them safe from COVID by strict compliance with health authority recommendations.
While our revenues and earnings were down in 2020, the moral and enthusiasm of our staff to help our customers remains unwavering.
We have already had one customer re-emerge from receivership and re-signed for services from us. We have additional customers that
are in the process and we believe we will end the pandemic with more customers that we started with, which is a very promising thing for
us and our shareholders.
One of the trends we notice is that “aviation” is a very broad description of the industry we serve. China is on its way to recovering fully,
while Malaysia, a mere two-hour flight away, has been locked down for months, international borders remain closed and no reopening
date announced. Our cargo carriers, remote operators in Northern Canada and Africa, and our eastern European operators are running
at nearly 2019 levels, while our sun destination, vacation carriers are slowed to a near stop. We are fortunate to have a diverse client
base and with 30 new ultra low-cost carriers being announced globally since the pandemic began, are confident that there are lots of new
opportunities coming our way in 2021 and beyond.
We have an expanded suite of new tools and products ready to go to market starting in Q2 of this year, with launch customers announced.
We are are working to quantify the savings we can bring to help everyone recover as quickly as possible once the vaccines are
administered, borders are opened, people can get out of the house and see families, go on vacations, or resume business travel.
We are working on new low-cost hardware to drive our Actionable Intelligence initiatives and developing state-of-the-art solutions for our
SaaS business. We are also having clients drive our initiatives to ensure we are working on what the industry needs, and management
feels very positive about the possibility of growing our skill sets and geographical representation with acquisitions and mergers that will
broaden our service offering and strengthen our ability to provide unique solutions to our customers.
Provided the anticipated vaccination programs around the world occur as planned and there is some level of support for airlines, we are
optimistic that the pent-up demand for travel globally will drive a resurgence for our customers. FLYHT is focused on being part of that
recovery. We have a great set of launch customers for our Actionable Intelligence tools and are looking to implement those tools across
our existing base of over 80 customers as well as to new customers this year and for a long time to come.
FLYHT has been through many cycles in the industry and is here for the long term with new and innovative solutions, strong staff and
clear focus on how to help our industry get back on its feet.
We thank our shareholders, staff, board, and customers for helping us come through 2020 in a strong position to deliver quality results
going forward. As always, we are happy to talk to any of you at any time.
Yours Truly
William T. Tempany
Interim Chief Executive Officer
Piper