From more trafficked airports to favored private airplanes, the combination of charter and fractional flights compared to its own airplanes, the V -shaped recovery of the industry, its recent plateau and even the key players, 2020 saw great changes in private aviation , according to data from Argus TraqPak’s data Annual Commercial Aviation Review. What does it mean? How do you foresee what follows?
Rent the track
Private aviation flights in the United States fell 22.5% last year compared to 2019. It was a trip full of potholes. After a 11.5% drop in the first quarter as COVID-19 extended, the flight activity collapsed 48.9% in the second quarter. While the passenger counts of the airlines languished, private flights recovered more than 80% of pre-pandemics levels for the third quarter and saw traffic only 15.2% in the last quarter in the last quarter.
However, the upper line numbers only have part of the story. Argus divides operators into three categories – Part 135 – Think of letter operators such as Wheels Up and Xojet; The 91K part is fractional actions operators such as netjets and flexjet, and part 91, non -commercial operators, typically corporate flight departments.
Why possess when you can rent? Share to Jet through fractional property, reaction cards and accounting letter … (+
While the Charter operators ended the year only 15% since 2019 at flight hours, fractional operators were not 18.6%. The numbers of part 91 fell 28.5%. The latter was naturally affected as the companies closed the offices, the conferences were canceled and the meetings became virtual, says Travis Kuhn, Vice President of Argus market intelligence.
The result was that for the first time since Argus has been tracking data, the participation of fractional flights and Charter constituted the majority of the industry, which represents 52.5% of the flight hours, compared to 43.7% in 2012 and 48.5 % in 2019. In other words, rent and exchange are exceeding total property.
There are no indications that airplanes are selling their parked airplanes. The network when they take off again should be a larger industry, says Kuhn. Even so, he believes that renting, either through the shared time, the reaction and letter cards, the majority of flying in the future will constitute.
In terms of recovery, Argus analysts expect two -digit deficits in flight hours until at least June and do not expect the industry to return to black until September as very soon. Charter flights, he says, could reach 2019 levels already in July.
The best airports and destinations of private Jet
Where people flew in private jets were also affected by Covid. Florida moved to the first place from third place, trading with California despite seeing that the exits fall to 257,625 of 276,602, a 7%decrease. The Golden State saw a drop in the activity of 25%, which put it behind Texas, 23%less. The three states represent 31.7% of all private flights in the United States.
Florida negotiated with California moving from third place to the first place as the US state. … (+
The hardest success was New Jersey, falling 4th to 9th In a 45%decrease, since Tetterboro airport, the main private aviation airport that serves Manhattan, saw that the flights fell 50.1%. Even so, the center of northern New Jersey for private flights remained as the most busy commercial aviation airport in the country with 36,508 departures. Love Field in Dallas was second (-15.4%), followed by Palm Beach International (-1.1%), Van Nuys airport in Los Angeles (-19.2%) and Denver’s Centennial Airport (-10.2%).
Only three of the 25 busiest airports saw increases: Scottsdale, the seventh classified, rose 4%, Naples municipal airport (10th) Flights saw 10%increase, and Aspen’s Pitkin field (22North Dakota) He saw an increase of 12.3% as more executives worked in the second houses instead of large cities.
When it came to the states, the greatest engines were red, which was 4th Rosted last year, up to two places, Arizona rises from 12th at 8thand Utah, the only state that saw the activity increase, jumping from 35th 26th.
Kuhn says that to track the fortunes of the industry this year, Argus will see the recovery pace in California, New York and New Jersey, and a performance in Florida, Colorado, Arizona and Texas.
Private Top Jets
If the size is important, Small was beautiful last year when it was the type of jet. Light reaction hours decreased 13.9%. At the other end of the spectrum, large airplanes, typically flown by global companies and UHNW that go to their yachts in the Med or African safaris, hindered by international travel restrictions, fell 36%.
Textron Aviation had the best private plane based on flight hours in three categories: medium … (+
In terms of the most popular private jet types, Gulfstream aerospace aircraft registered most of the hours between large long -range cabin and super operators. The Cessna of Textron Aviats Excel/XLS appointment was superior in medium aircraft. His Mustang was the lightest jet, and his Beechcraft King Air 200 was the double motor turboprop. Embraer’s 300 phenomenon maintained his domain with the jets of light.
Larger private aircraft companies
Netjets, Inc., the Berkshire Hathaway unit, including netjets and its arm and administration arm, executive jet management, remained solidly in the first place considering the operators of the letter and fractional. That is despite a 27% drop in 2019.
Wheels Up moved from 11 to third place in the list of fractional private and charter … (+
With 336,252 flight hours, it is still bigger than the next three combined players. However, that gap is closing. Directional aviation flexjet saw an increase of 3%, while wheel partners, driven by the acquisitions of Delta Private Jets and Aviation Signature range, moved from 11th point in third place. Its acquisition last month of 7th Place Mountain Aviation places him neck and neck with flejet for second place. Global view, based in Dubai, which has a minority participation in Xojet Aviation, fortified its place in 4th Position with a 9% increase in flight hours, driven in part by its acquisition of red aviation.
Jet Linx Aviation jumped 7th to 5th With its acquisition of the Charter business of Meridian Aviation, just before the fractional operator plans, which maintained its sixth place. Up Up Up Flyexclusive also moved, which last year launched its first reaction card program. Moved from 10th at 8th With a 25% increase in flight hours, helped by the acquisition of Sky Night, another operator.
Jet Edge stayed at 9th Spot and saw its flight schedule up to 13%, driven by the acquisition of Jet Select, while Soloirus Aviation fell 8th to 10th.
Despite all M&A activity, Business Aviation remains a fragmented market. The 10 largest letter and fractional operators represented 44.3% of the activity of the 91K/135 and 23.2% of the total business aviation flight hours. On the contrary, the 10 USAs of US control 90% of the market.
Kuhn expects more offers. There are more than 2,000 charter operators in the US M&A. They may not be restricted to private airplanes. Last week, DIRECTIONAL announced that he was acquiring Group Aircraft Association Aircraft of the helicopter operator, which offers actions and membership in the northeast.
With so many small local operators, says Kuhn, unlike airlines, which can increase prices in Fortress Hubs, the letter operators will still feel continuous price pressure, something good for consumers.
Perhaps the most important thing, he says that while the recovery is stepping on water, if he can keep the current status quo until vaccines are generally and more places are opened, he does not expect insolvencies. Last year, the members of the Jetsuite Suitekey membership program lost $ 50 million in flight loans when the letter operator based its fleet and requested bankruptcy protection of chapter 11.
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