Back
1.
November
2022.
ACC Aviation's third quarter sees significant demand across Charter
PRESS RELEASE
1st November 2022
ACC Aviation's third quarter sees significant demand across Charter, Consulting and Leasing divisions
ACC Aviation, the global aviation services group, continued its consistent 2022 growth trajectory with a notably strong Q3. Underpinned by an industry-wide move towards "normality", ACC's Charter, Consulting and Leasing divisions enjoyed steady growth through Q3.
As the aviation industry starts to see the green shoots of recovery, ACC's consulting teams report notable growth across all consulting segments.
"The market is starting to feel the recovery, and this is creating a foundation where airlines and financiers are starting to transact again, which is feeding activity across all of our capability sets – valuation, inspection, remarketing, financing, and advisory", commented Rob Watts, ACC Aviation, Director of Consulting.
ACC's charter teams reported strong demand for sports travel, music touring, and corporate groups, signaling further optimism for a return to pre-pandemic market conditions. In addition, demand for charter as a whole also increased notably. Slot and capacity-driven disruptions to scheduled services saw more turn to the reliability of charter, which is set to continue into Q4.
As airlines felt the squeeze from all sides, with maintenance schedules impacting aircraft capacity, airports limiting slot volumes, and pent-up passenger demand, ACC's leasing department reported over 41,000 YTD block hours operated. This success was primarily driven by European airlines as they looked to capitalise on current conditions. "In addition to European demand, there are also positives for other geographical regions with successful ACMI operations in Africa, APAC, and the Americas throughout Q3", added Dave Williams, ACC Aviation, Director of Leasing.
Q3 also saw ACC maintain a regular corporate shuttle service in North America and utilization of the all-VIP B757-200 operated by Freedom II.
Charter activity included:
•Driven by increased passenger apprehension surrounding scheduled services, charter demand climbed across the board.
•Notable demand for sports charters, music tours, and corporate travel groups.
•ACC teams supported global airlines, providing go-now passenger charters for flight crews in response to scheduling and capacity challenges felt across the industry.
•Significant new customer acquisition alongside existing client growth.
Charter Q4 outlook:
Seasonal vacation demand is likely to continue as usual in Q4. However, the World Cup in Qatar is expected to drive passenger charters significantly throughout November and December, with charter providing a reliable transport solution for teams and supporter groups throughout the tournament. In addition, collegiate sports and college football in the US is likely to compel demand for larger passenger airliners this winter.
Consulting activity included:
•Engagement for an aircraft maintenance cost analysis project by a major aircraft OEM.
•Engagement for a six-asset repossession project by a leading import/export bank.
•Engagement for an aircraft valuation project for a liquidator client.
•Successful repossession and lease placement of an aircraft on behalf of a lender client.
•Engagement for a five-engine off-wing storage management project for a lessor client.
•Successful delivery of financial model and capital-raising pitch deck for a mid-to-end-of-life aircraft leasing platform.
•Several pre-lease inspections completed for a leading ACMI carrier.
Consulting Q4 outlook:
Continued recovery is expected across all areas of aircraft transactions, with further growth in overall business volume. Q4 is likely to pose a challenge for several airlines, meaning possible asset transitions are to be expected.
Leasing Q4 outlook:
Seasonal ACMI demand is expected across APAC, the Middle East, Africa and the Americas. While tricky to predict, airlines appear to be gearing up for another solid European summer market in 2023, with ACMI capacity being secured well in advance.
In October, ACC became a certified carbon-neutral aviation business with the successful rollout of an ambitious company-wide carbon offsetting program.
ENDS
580 Words
About ACC Aviation
Founded in 2002 as an aircraft leasing specialist, ACC Aviation delivers market-leading solutions across aviation consultancy services, ACMI leasing, and air charter. Through an international office network spanning Europe, the Middle East, Africa, North America, and Asia, it provides bespoke aviation solutions to clients across the globe. Its success is built on the strength and depth of its relationships within the aviation industry. ACC Aviation delivers superior solutions to a diverse and growing client base through continued investment in developing and maintaining these partnerships, with a persistent focus on innovation.
The company is backed by YFM Equity Partners and is a Financial Times Top 1000 ranked European company.