Avantair Logs Profit Despite Economic Turbulence

By: Chad Trautvetter

May 19, 2009
Fractional

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.

Back

NetJets ME launches F2000LX program November 15, 2009 Fractional ownership of private aircraft seems to be a struggling business model in North America and Europe but it’s alive and well in this... [more]
NetJets To Furlough Nearly 500 Pilots November 10, 2009 Fractional provider NetJets late last week announced that it will furlough up to 495 pilots from its North American fractional operations,... [more]
NetJets Europe Halfway to Carbon-Neutral Goal November 10, 2009 NetJets Europe yesterday released its first environmental progress report, in which it claims to be on track to become completely carbon-neutral... [more]
CitationShares is now CitationAir by Cessna November 02, 2009 Responding to the brave new world of recession-shaped business aviation, CitationShares last month in New York City unveiled a rebranding that... [more]
Flight Options Pilots Authorize Strike November 01, 2009 IBT 1108, the union representing Flight Options pilots, on October 19 said 90 percent of those voting in a strike-authorization vote approved a... [more]