- Jayride Group (JAY) has given shareholders insight into the impact of the COVID-19 pandemic on its business
- The company offers airport transfers globally and has seen booked trips fall 95 per cent during the pandemic, compared to the previous corresponding period
- The company’s booked trips fell from 43,200 trips in February to 1600 in April
- Jayride is hoping it can survive the carnage, as it believes the marketplace will open up again post-COVID as competitors drop out
- Despite the news, Jayride Group shares rose 17.9 per cent today to trade for 16.5 cents each
Jayride Group (JAY) has revealed its April passenger trips have fallen 95 per cent due to COVID-19, compared to the previous corresponding period.
The company is an international travel vehicle for airport transfers, and due to the coronavirus, restrictions have had a massive effect on customer numbers since March.
The company in February of this year booked 43,200 trips for a total net revenue of $444,300. The company’s net revenue for the first quarter of this year was $849,500 from a total of 107,700 trips.
Amazingly, the company’s second-quarter trips booked across April, May and June thus far has been a paltry 6,100. In April, it did just 1,600 trips.
This means the company accomplished just 14 per cent of its February rides in the three months since COVID-19 hit.
The company has however stated it can see a light at the end of the tunnel, as domestic and international travel begins to resume around the world.
Jayride has said it sees the post-COVID-19 world showing a cyclical recovery when travel restrictions ease, alongside a trend towards to online bookings acceleration post-COVID-19.
Booked passenger numbers are starting to show an initial recovery for May and June and are slightly ahead of the model the company built to predict the effect COVID would have on the company.
The company has also stated that the shutdowns are wiping out the competition, creating opportunities for the company.
Managing Director Rod Bishop said the travel industry had been hit with a “significant impact” since March when the coronavirus started to affect international travel.
“In March, we disclosed to investors our business model assumptions for a prolonged and severe downturn,” Rod said.
“In the latest trading so far, we are exceeding this model,” he continued.
“Trips did not fall as far as modelled and we have seen an initial rebound earlier than expected, with potential for further rebound across the Northern Hemisphere summer travel season,” Rod stated.
Despite the news, Jayride Group shares rose 17.9 per cent today to trade for 16.5 cents each at market close.