Third anniversaries don’t usually get a lot of attention.
That was not the case for Avelo Airlines.
The ultra-low-fare airline that serves Wilmington Airport (ILG) marked the occasion with CEO and founder Andrew Levy making the rounds with interviews and the airline issuing a release marking the milestone. The result was largely favorable coverage as Levy made the rounds with interviews and a social media message.
Perhaps the most impressive achievement came from one of the release’s bullet points: Avelo followed a fourth-quarter 2023 profit with a similar performance in the first quarter of this year. In the airline industry, losses are commonplace in the first quarter. The privately held airline did not disclose details.
Also noted was the airline’s best on-time and cancellation record in 2023. In 2024, it’s in second place. Avelo’s reliability record is aided by its offering of all non-stop flights, often in the two-hour range, and no connecting service. Luggage fees and seat assignments are available at an additional cost.
Avelo started at Hollywood Burbank Airport in southern California with a flight to Sonoma County Airport in northern California’s wine country. It was the first new airline in the nation in nearly 15 years, although its roots can be traced to Casino Express, an airline that flew to Nevada gaming destinations.
Avelo followed up with perhaps its most successful move in flying out of New Haven, CT, an airport with no scheduled carrier. New Haven proved to be a winner for the airline despite Breeze Airways’ decision to focus on neighboring Hartford, CT.
Last February, Avelo launched flights from Wilmington to five Florida destinations. That number grew to more than a dozen last summer. However, the airline scaled back the ILG schedule to the current eight stops in Florida, the Carolinas, and Puerto Rico and moved one of the Boeing 737 jets based here. Sarasota flights return in November.
Since its launch, Avelo has flown more than 4.6 million passengers, 300,000 or more of that number from Wilmington.
Avelo has grown from four to 16 older Boeing 737 jets and plans to add four more this year. The older jets come with smaller lease payments that help Avelo’s bottom line. Avelo is adding “finlets” on its wings that reduce the higher fuel costs that come with older aircraft.
Avelo serves 52 destinations, mainly with once or twice-weekly flights. One exception is the Wilmington-Orlando route, which currently has four departures each week.
Avelo also operates a charter business that took the University of Connecticut’s men’s championship basketball team and the University of Iowa’s second-place women’s teams to their respective Final Fours.
While Wilmington will not see new destinations – to the disappointment of those who wanted to see flights resume to Savannah, Nashville, Raleigh and Greensboro – the airline will add 17 new routes during the next two months, including one to its headquarters city of Houston, Texas.
The growth of Avelo is leading to speculation that the airline may raise additional funds through private equity or perhaps a public stock offering. CEO Levy has been cautious about seeking funds but with the bottom line looking OK and carriers like Southwest pulling out of a few destinations, opportunities may be out there, providing Avelo can secure hard-to-find Boeings. – Doug Rainey
