market reports

NAFA member, AMSTAT recently released their 2023 November - Q3 Preowned Business Aircraft Market Report.

This report examines supply, demand, asking prices and values in the preowned business jet, turboprop, and turbine helicopter markets. This report shows for jets and turboprops:

• There has been a relative slowdown in resale transaction activity, especially when compared to 2021 and 2022. However, in most market segments the first half of the year’s activity was in line with historical averages.
• A growing preowned inventory, with significant year-over-year increases, but still a lower percentage of the active fleet available for resale than historical averages.
• Ratcheted expectations from sellers of Medium Jets at least in terms of average asking prices.
• Plateaued and declining aircraft median values.

And for turbine helicopters:

• A relative slowdown in resale transaction activity, although better than pre-pandemic years in some market segments.
• A bottom seems to have been reached in preowned inventory levels.

• Preowned asking prices suggest improved seller sentiment.

Request report here

This report was originally published by AMSTAT in November 2023.

WASHINGTON, D.C. – Today, the General Aviation Manufacturers Association (GAMA) published the Third Quarter 2023 General Aviation Aircraft Shipment and Billing Report. The general aviation aircraft manufacturing industry’s results for the first nine months of 2023, when compared to the same period in 2022, show increased aircraft deliveries across all segments along with an increase in the overall value of the aircraft shipments.

“General aviation is the planet’s aerospace technology incubator that drives safety and sustainability benefits to our transportation systems and economies. We are laser focused on safety, technology and sustainability initiatives to maintain and expand our industry’s steadfast growth into the future. To achieve this, it is imperative that there is stability within our industry’s regulatory bodies and having a new permanent leader at the top of the FAA is a great start. It is also essential that Congress act now to pass an FAA reauthorization bill that provides the new Administrator and agency with the necessary direction and tools to strengthen and enhance the aviation system,” said Pete Bunce, GAMA President and CEO.

Aircraft shipments through the third quarter of 2023, when compared to the same period in 2022, saw piston airplanes increase 11.9% with 1,135 units, turboprops increase 14.6% with 439 units, and business jets increase 2% with 455 units. The value of airplane deliveries through the third quarter of 2023 was $14.5 billion, an increase of 2.5%.

Read full report here

This report was originally published by GAMA on November 21, 2023.

NAFA member, Global Jet Capital, recently released their Q3 2023 Business Aviation Market Brief.

The Global Jet Capital Market Brief covers the state of the aviation market for new and pre-owned business jets; including, an overview of overall economic conditions, business jet flight operations, pre-owned and new market conditions, business jet transactions, and changes in aircraft residual values. 

The report includes data and perspective on:

• General economic conditions
• Flight operations
• Fleet status
• New and used aircraft market conditions
• Transaction activity (new and used)
• Residual values
• Recent Global Jet Capital transactions

Read full Brief here

NAFA member, Aero Asset, has just released their HELI MARKET TRENDS Half Year 2023 Report - Twin Engine Edition. 

Here are some Key Findings:

LESS DEALS, MORE SUPPLY FOR SALE

• Total retail sales decreased 15% 1^st half of 2023 vs same period 2022 (YOY).
• Supply for sale was 18% higher year over year (YOY).
• Absorption rate increased to 14 months of supply at current trade levels.

WEIGHT CLASS PERFORMANCE

• Light & medium twin engine supply for sale increased 20% YOY.
• Medium twin engine retail sales volume decreased nearly 45% YOY.
• Light and Heavy retail sales remained stable over same period.

AVERAGE PREOWNED PRICES RESILIENT

• Light twin average transaction price (“ATP”) stronger YOY, except in Bell 429 & EC/H145 markets.
• S76C+ / C++ ATP up $175k & 1.3m respectively, whilst other medium ATPs were either flat or down YOY.
• S92 ATP was stable YOY, whilst EC/H225 ATP +$1.1m YOY.

REGIONS

• Sales volume increased worldwide except in North America & Europe 1^st half of the year vs. 2022.
• North America & Europe accounted for 75% of total transactions 1^st half of 2023.
• Supply for sale increased twice as much in North America then Europe in the 1^st half of the year.
• Supply for sale decreased 12% in Latin America 1^st half of the year vs. 2022.

DEAL PIPELINE

• The number of deals pending at various stages of transaction increased 32% 2Q 23 vs. 2Q 22.

LIQUIDITY LINEUP

• The best performing preowned twin engine market in 1^st half of 2023 was the Leonardo A109E Power, followed by the Bell 429 and the Sikorsky S92A.
• The AW169 is the only twin engine model with no retail sales over the 1^st half of 2023.

Full Heli Market Trends report available here

 This report was originally published by Aero Asset on September 21, 2023.

NAFA member, Global Jet Capital releases their Q2 Business Aviation Market Brief.  

Coming off a very strong 2021 and 2022, the business jet market stabilized in H1 2023. Flight operations were down compared to 2022, but remained higher than pre-COVID levels, inventory levels continued to climb but remained below historical averages, and transactions declined from high levels over the past few years. While the economy remained resilient in Q2 2023, economists continue to keep a close eye on future macroeconomic conditions.

Click here for Full Market Brief

This Market Brief was published by Global Jet Capital on August 22, 2023.

NAFA member, Aero Asset, recently released their Heli Market Trends Half Year 2023 Report Single Engine Edition.

Key Findings

–

TRANSACTION VOLUME DOWN, SUPPLY FOR SALE RISES

• Retail sales decreased 60% S1 2023 vs same period 2022 (YOY).

• Supply for sale ended 70% higher year over year (YOY).

• Absorption rate increased to 8.5 months of supply at current trade levels.

ROBUST DEMAND FOR SINGLES IN NORTH AMERICA

• North American buyers accounted for 2/3rd of all transactions S1 2023.

• Retail transactions to Europe dropped 75% YOY.

• Europe & North America account for 2/3rd of the worldwide supply for sale.

PREOWNED PRICING STRONG AGAINST FIRM OEM LEAD TIMES

• Average asking price increased 11% YOY, buoyed by arrival of low time helicopters on the market.

• Average transaction price increased 23% YOY.

• Average days on market dropped 46% YOY.

LIQUIDITY LINEUP

• The most liquid preowned market during the 1st half of 2023 was the Bell 407/GX/P/I followed by the Airbus AS350 B3/B3e/H125, and the Airbus EC130 B4/H130.

• The least liquid preowned market during the 1st half of 2023 was the Leonardo AW119K/Ke/Kx, with an absorption rate of 14 months.

Download the full Heli Market Trends reports here: 
https://www.aeroasset.com/en/report-download/S12023-Singles

NAFA member Duncan Aviation releases their Preowned Aircraft Sales Market Conditions report.

The current preowned aircraft market is extremely different from the first months of 2022. Nearly every market is down in pricing, as we’ve experienced a decline in value and demand. At the start of 2022, we saw just under 750 active on-market business jet listings, which had fallen to very low levels due to the pandemic and the consequent dramatic increase in the number of people flying private. That number was well below the pre-pandemic level of around 2,500, and as a result, prices were at an all-time high. We are now seeing the market starting to equalize as more aircraft are listed, and prices are beginning to drop. This is great when buying but not so great when selling.

People are concerned about financial meltdowns, bank failures, and interest rate hikes, so some owners are selling their aircraft and reverting to charter. However, there continues to be a steady number of owners seeking to upgrade. I recently listed a 25-year-old Gulfstream for sale, the 5th on the market. Just a few months later, there were 20 of them available, putting buyers in a much stronger position.

Read full report here

This report was originally published by Duncan Aviation on June 6, 2023.

NAFA member, Global Jet Capital releases their Q1 2023 Business Aviation Market Brief.

Coming off a very strong 2021 and 2022, the business jet market began to normalize in Q1 2023. Flight operations were down compared to 2022 (although still higher than pre-COVID levels), book-to-bill ratios were around 1-to-1, listings approached 2019 levels, transactions were down from highs in 2022, and values stabilized. The biggest question going forward for the industry is the threat of overall economic recession. Overall, the business jet market remains in a strong position, with demand and backlogs remaining at high levels and inventory remaining at low levels.

Read full Market Brief here

This Market Brief was originally published by Global Jet Capital on June 7, 2023. 

NAFA member Jetcraft releases their 2023 Pre-Owned Business Jet Market Forecast bringing together their unique understanding of the market and analysis of data gained from facilitating more than 800 transactions over the past decade.  

Ever Forward 2023 explores the high demand from corporate buyers and how, now that they're flying more than ever before, they will impact business aviation's growth over the next five years.

View Forecast here

This market forecast was published by Jetcraft on May 24, 2023.

AMSTAT, Bloomberg Intelligence and General Aviation Services present their May 2 webinar entitled "A Return From Ludicrous Speed".  This webinar talks to:

• Preowned business aircraft values.
• Key data metrics and what they tell us about the current business aircraft market.
• Updates on key economic data and the likely impact on business aviation.

A recording of this webinar and accompanying slides can be found here:  AMSTAT, Bloomberg Intelligence and General Aviation Services - Business Aircraft Market Update Webinar – May 2023

This webinar was originally published by AMSTAT on May 2, 2023.

Media Contact:
Aimee Talbert Nardini, Global Jet Capital
561.212.1594 [mobile]
atalbertnardini@globaljetcapital.com

Global Jet Capital Publishes Annual Business Jet Market Forecast

Five-Year Outlook Points to Steady Growth After Record-Setting Demand Cools
Forecast Projects $195 Billion in Total Transaction Volume Over the Next 5 Years

Danbury, CT – May 22, 2023 – Global Jet Capital, a global leader in financial solutions for business aircraft, released its annual Business Jet Market Forecast today. In the updated report, the company projects continued growth for the next five years. The forecast also contains insights and projections for the business aviation market through 2027, including breakdowns of new deliveries and pre-owned transactions. The high level of detail in the report is based on outputs generated by Global Jet Capital’s proprietary transaction forecast model.

“As expected, we have seen a leveling off from the unprecedented demand that our industry experienced post-pandemic, but looking ahead, we see a steady growth pattern for both new and pre-owned aircraft. Most OEMs have strong backlogs and should see improvements in supply-chain challenges that limited deliveries in 2022 and so far in 2023. Pre-owned transactions continue to return to rates more in line with historical trends and are expected to pick up in 2024 and beyond to reflect increasing demand from new aircraft models,” Andrew Farrant, Chief Marketing Officer, stated.

Based on its econometric top-down model, Global Jet Capital projects $195 billion in total transaction volume of new and pre-owned transactions between 2023 and 2027, with a compound annual growth rate of 3.1 percent during that time.

In the report, the company forecasts that deliveries of all size categories will increase during the period, but heavy long-range jet demand should increase at faster rates than other sizes as demand favors more international travel. North America is expected to remain the largest business jet market over the next five years, with Europe remaining the second largest market.  Latin America is also forecasted to continue its important pre-owned market interest.

Global Jet Capital believes that the projections contained within the forecast are a useful tool for individuals and organizations navigating the business aircraft industry. To download the Market Forecast, visit: https://www.globaljetcapital.com/forecast-2023

About Global Jet Capital

With more than $3.5 billion in originations, Global Jet Capital provides financing solutions for the business aircraft market. The Global Jet Capital management team has served the business aircraft industry for a combined 250-plus years and has completed thousands of aircraft transactions. The Company has the expertise, financial strength, industry relationships and infrastructure necessary to offer a variety of flexible financing solutions at the speed the market requires. Visit www.globaljetcapital.com to learn more.

NAFA member, AeroAsset, shares their Heli Market Trends 2022 Annual Reports.

Single Engine Edition

Key Findings

–

TRANSACTION VOLUME DOWN, SUPPLY DECREASE SLOWS

·      Retail sales decreased 12% 2022 vs 2021 (YOY)

·      Supply for sale declined 40% year over year (YOY) but rose in the last semester of 2022

·      Absorption rate decreased 30% YOY, to 5 months of supply at current trade levels

ROBUST DEMAND FOR SINGLES IN NORTH AMERICA

·      North American buyers accounted for 2/3rd of all transactions in 2022

·      Retail transactions to Europe dropped 40% YOY

·      North American supply trippled Q4 22 vs Q2 22

MARKET PERFORMANCE BY CONFIGURATION

·      VIP singles accounted for 60% of all transactions in 2022

·      EMS supply remains at all time low

·      Utility supply for sale dropped 30% YOY

LIQUIDITY LINEUP

·      The most liquid preowned market in 2022 was the Airbus AS350 B3/B3e/H125, followed by the Bell 407/GX/P/I and the Airbus EC130 B4/H130. All three models boast 5 months of supply at 2022 trade levels

·      The least liquid market, the Leonardo AW119, ranked last with a nonetheless strong absorption rate of 10 months

Twin Engine Edition

Key Findings

–

TRANSACTIONS DOWN SLIGHTLY, SUPPLY DROP SLOWS

·      Retail sales volume decreased 4% 2022 vs. 2021 (YOY).

·      Supply for sale declined 11% year over year (YOY).

·      Absorption rate at lowest point in 4 years.

WEIGHT CLASS PERFORMANCE

·      Supply for sale continued to decrease in all asset classes through 2022.

·      Medium & heavy twin engine retail sales were stable YOY.

·      Light twin retail sales declined 10% over same period.

MARKET PERFORMANCE BY CONFIGURATION

·      VIP singles accounted for 60% of all transactions in 2022

·      EMS supply remains at all time low

·      Utility supply for sale dropped 30% YOY

REGIONS & YOM

·      North America & Europe accounted for 73% of sales in 2022.

·      Europe saw a 20% decrease in transaction volume YOY.

·      Sales of 20 yr+ aircraft experienced a strong resurgence YOY.

LIQUIDITY LINEUP

·      The best performing preowned twin engine market in 2022 was the Airbus EC/H135, followed by the EC/H145 and the Sikorsky S76C+/C++.

·      The worst performing preowned twin markets were the Leonardo AW169 and Sikorsky S76D markets, with no retail sales last year.

·      The biggest drop in the lineup was the Bell 429, ranked #2 in 2021 and 10th in 2022.

Full Heli Market Trends reports available at:

Single engine edition https://www.aeroasset.com/en/report-download/2022-Singles

Twin engine edition https://www.aeroasset.com/en/report-download/2022-Twins

These reports were originally published by AeroAsset.

WASHINGTON, D.C. – February 22, 2023 - Today, the General Aviation Manufacturers Association (GAMA) released the 2022 General Aviation Aircraft Shipment and Billing Report during its annual State of the Industry Press Conference. Overall, when compared to 2021, all aircraft segments saw increases in shipments and preliminary aircraft deliveries were valued at $26.8 billion, an increase of 6.0%.

“The general aviation manufacturing industry continues to show increasing strength despite workforce and supply chain challenges across our industry. Our product development across the spectrum of fixed wing, rotorcraft and Advanced Air Mobility vehicles is spurred by the recognition that our industry is the safety and sustainability technology incubator for global civil aviation. These safety, performance and sustainability efforts are built upon progress with lighter weight materials, new structural and wing designs, fly-by-wire control replacing heavy hydraulic systems, additive manufacturing reducing the number of parts, lighter weight and more reliable avionics, and engines and airframes that can fly on a 100% sustainable aviation fuel blend. Of course, the impressive list of progress doesn’t even begin to touch on the revolution of electric, hybrid and hydrogen propulsion our companies are developing. As we look towards FAA reauthorization in the U.S., we will be looking for Congress to focus the FAA on improving their processes to facilitate the certification of new technologies as well as support their validation efforts globally to deliver safety, performance and sustainability benefits,” said Pete Bunce, GAMA President and CEO.

Read full press release here.

This release was originally published by GAMA on February 22, 2023.

NAFA member, IADA, remarks on the aircraft resale market.

WASHINGTON, Feb. 22, 2023 –The International Aircraft Dealers Association (IADA) is pleased to congratulate GAMA (General Aviation Manufacturers Association) member companies on their rising airplane billings and shipments in 2022. The aircraft resale association’s comments followed the release of annual new aircraft shipment report today at GAMA’s 2023 State of the Industry Press Conference here in Washington, D.C.

“Higher deliveries and the substantial backlog by GAMA member companies will contribute to further normalizing the business aircraft resale marketplace, which is good news for aircraft buyers and sellers and our industry in general,” said IADA Vice Chair Phil Winters, who is Vice President of Aircraft Sales & Charter Management for Western Aircraft in Boise, Idaho.

Read full press release here

NAFA member, Global Jet Capital, released their 2022 Q4 Market Brief.

The business jet market was strong in 2022. Flight operations improved on a year-over-year basis and manufacturers received a high level of orders. Transactions were down compared to a brisk 2021 but were higher than pre-COVID levels. Aircraft listings increased, although pricing remained stable as overall inventory levels were still low. The biggest question going forward is the health of the global economy, with many economists expecting a recession in 2023. Due to business aviation’s unique value proposition, the business jet market has remained resilient but will likely be tested this year.

• While many economists forecast the global economy to experience a recession in 2023, Q4 2022 data indicates that the contraction may be less severe than originally expected.
• While flight operations dipped slightly in Q4 2022, they remained nearly 18 percent above 2019 levels, demonstrating that the broadening of the business aviation user base has endured.
• OEMs experienced robust demand in 2022, driving up backlogs. Strong deliveries and normalizing order intake during Q4 resulted in lower book-to-bill ratios.
• Pre-owned transaction levels were down in 2022 compared to a red-hot 2021 but were higher than pre-COVID levels.
• Inventory levels increased along with aircraft listings in 2022 but remained well below historical levels.
• With demand strong and supply remaining low, business jet bluebook values increased in Q4, but signs that the market is normalizing began to emerge.

View Global Jet Capital's Report here

This report was originally published by Global Jet Capital on February 22, 2023.