Aftermarket aircraft parts supplier Aeroinv.com will now be listing more than 150,000 part SKUs worth $350 million on Inventory Locator Service. ILS provides an electronic marketplace that enables subscribers to buy and sell parts, equipment and services. The inventory includes major brands of parts and components for most aircraft models.
“The first five months of the 2011 pre-owned market showed early-stage recovery signs,” with used business jet retail sale transactions growing by 19.7 percent during the period, according to data released by business aviation information firm JetNet.
As mixed signals continue in the business jet market, JPMorgan North American Equity Research says in its latest industry update that a “decisive recovery [remains] elusive.” The investment firm notes positive trends such as “solid” first-quarter business jet orders announced by Bombardier last week, as well as declining pre-owned aircraft inventories.
Reports from last month’s National Aircraft Resale Association’s spring meeting in Naples, Fla., inspire continued optimism about the business aviation industry’s recovery. “There’s certainly more movement, and it’s much more positive than what we saw a year ago,” said Allen Qualey, president of the specialty finance group at 1st Source Bank.
“We are gaining confidence that a recovery is taking hold following good news in recent weeks,” JPMorgan North America Equity Research noted in its latest monthly business jet update, released yesterday. The firm cited the net orders for 74 aircraft booked by Bombardier in the fourth quarter, as well as the firm order for 50 Bombardier Globals placed by NetJets last week.
The buying momentum that had been building during the fourth quarter of last year seems to be spilling into this year, as evidenced by a move lower in inventory to levels not seen in more than two years.
Sales transactions of pre-owned business jets and turboprops, as well as turbine helicopters, posted healthy increases from a year ago, according to data released by business aviation information firm JetNet. From January through October 31, business jet sales transactions climbed by 16 percent, followed by turbine helicopters (up 15.2 percent) and turboprops (up 4.5 percent).
According to the latest data from JPMorgan Research, pre-owned business jet inventories fell last month, reversing a three-month upward trend, though demand remains “weak.” Inventories decreased to 11.7 percent of in-production business jets, but JPMorgan said they remain elevated and noted that inventories have fallen less than 0.1 percentage point per month on average this year.
Sales transactions of pre-owned business jets and turboprops, as well as turbine helicopters, posted healthy increases from a year ago, according to data released yesterday by business aviation information firm JetNet. From January through October 31, business jet sales transactions climbed by 16 percent, followed by turbine helicopters (up 15.2 percent) and turboprops (up 4.5 percent).
The eye-popping total of 2,750 pre-owned aircraft for sale today is a lot based on historical standards, but it is well below the peak reached a little more than a year ago. The broker community and OEMs monitor the total number of aircraft for sale because it is an important measurement on which to gauge the health of the used aircraft market, but when you scratch beneath the surface you realize that the sky is not falling.