Jupiter, Fla.-based business jet broker The Private Jet Company (TPJC) believes that the “confluence of factors creating the current buyer’s market” will not last beyond 12 months. While the firm clearly has a vested interest in encouraging the purchase of pre-owned business jets, it cited third-party data sources to support its claim.
In its latest monthly business jet report, released last week, investment research firm UBS saw a slight increase in the overall used aircraft inventory in November, its fourth straight monthly increase following a steady declining trend over the past 14 months. Available aircraft inventories were 3 percent higher than those in July.
Leading business aircraft manufacturers are starting to take some encouragement from improving market conditions and more than ever are counting on emerging markets like the Middle East to give them the momentum the beleaguered industry needs to achieve a full-blown recovery.
Revenues at Berkshire Hathaway’s NetJets fractional aircraft subsidiary climbed 17 percent during the first nine months of this year versus a year ago “due to an increase in worldwide flight revenue hours and increased fuel cost recoveries, partially offset by lower management fees due to fewer aircraft in the NetJets program.” According to the third-quarter financial report, NetJets logged pre-tax earnings of $158 million in the first n
The recovery in the business jet market was mixed again last month, according to JPMorgan North American Equity Research’s latest monthly business jet report, released on Friday. Indicators for pre-owned business jets deteriorated a bit further last month, the firm said, while manufacturers saw increased order activity for new aircraft.
According to JPMorgan’s latest business jet monthly report, improvement in the pre-owned market has stalled. However, it expects the trend toward lower inventories to restart and continue. The nearly 3-percent decline in pre-owned inventories in
Emerging markets is the buzzword in the business aviation industry, but few talk about the challenges of actually getting aircraft into service in these countries. ACASS president Andre Khury specializes in this area, and he sat down with AIN at the NBAA Convention to share some interesting stories about what it takes to get aircraft into service in emerging countries.
Conditions for general aviation businesses “have noticeably improved” in the year since the last NBAA Convention, according to New Jersey-based aviation consultant Brian Foley. “There’s an entire spectrum of the industry seeing these better results, including MRO, FBO, charter and fractional companies,” he said.
According to JPMorgan’s latest business jet monthly report, released on Friday, improvement in the pre-owned market has stalled. However, it expects the trend toward lower inventories to restart and continue. The nearly 3-percent decline in pre-owned inventories in the 12 months following the July 2009 peak has “lost some steam” as levels have increased slightly (up 0.1 percent) for the second consecutive month in September.
The business jet market index from UBS Investment Research last month fell a further 8 percent, to 37, the second consecutive decrease and below the threshold of 50–the median above which a growing market is indicated and below which deterioration is seen. This follows a stable first half, in which the index held at 50–meaning stabilized conditions–for three consecutive surveys.