Avantair Logs Profit Despite Economic Turbulence
Clearwater, Fla.-based fractional provider Avantair reported another quarter of positive EBITA profits in a difficult economic environment, clearly putting the Piaggio Avanti fleet operator on the path to health after years of losses. In its fiscal third quarter that ended March 31, the company saw year-over-year revenues climb 15.7 percent to $34.7 million. It also saw operating income of $300,000 (not including a $2.95 million nonrecurring credit resulting from a vendor contract termination) in the quarter, versus a $5.2 million loss in the same period last year. Not including the nonrecurring credit, Avantair’s EBITA profit was $1.5 million, compared with a $690,360 profit in the preceding quarter and a $4 million loss in the same timeframe last year. “Business was strong during the third quarter, exceeding our internal expectations and accelerating our profitability timeline,” said Avantair CEO Steven Santo. “Our growth was driven by market share gains as awareness of Avantair’s value proposition continued to build among consumers…and resulted in our first quarterly operating profit in the company’s history. The economic downturn has created compelling reasons for consumers of private travel to turn to Avantair.” The company reported that its jet-card sales increased 81 percent year-over-year.