Avantair

[corpjock]

[FONT=Verdana, Arial, Helvetica, sans-serif]Avantair Still Growing, Plans To Double Fleet by 2014
Fractional Piaggio Avanti operator Avantair late last week announced more fleet expansion, further growth and new personnel hires. Avantair is continuing to take deliveries of new Avanti II turboprop twins and expects to more than double the size of its fleet over the next three years from 52 to 107 aircraft, the Clearwater, Fla.-based company said. According to an AvData report issued in February, Avantair now has a market share exceeding 29 percent of the fractional light jet-size cabin market. Meanwhile, its aircraft card program continues to grow, with first-quarter sales reportedly increasing 183 percent from year-ago levels. “While the March quarter typically marks our slowest seasonal sales cycle, we achieved a record high for this period, nearing the levels that are historically associated with our highest selling period in the December quarter,” noted Avantair CEO Steven Santo. The fractional provider also expanded its sales team, hiring two new inside sales professionals–Laurel Jepson and Philip Barry–and promoting Michael Doyle from senior sales director for the North and Midwest territories to vice president of eastern division sales. [/FONT]

 

[Flyingdog1]

No kidding, who doesn't have a plan to double by 2014?

 

[Dilligaff]

No kidding, who doesn't have a plan to double by 2014?

Sure sounds like a nice plan, doesn't it?

I have no doubt that we'll continue to grow for a while, but doubling our size in the next 4 years seems a little lofty to me.

 

[rettofly]

Sure sounds like a nice plan, doesn't it?

I have no doubt that we'll continue to grow for a while, but doubling our size in the next 4 years seems a little lofty to me.

Lofty, maybe... but it tripled during my almost five years (grew from 17 to 52 aircraft, or is it 55 now?). 13 deliveries a year gets you there in four years.

 

[wacoflyr]

Lofty, maybe... but it tripled during my almost five years (grew from 17 to 52 aircraft, or is it 55 now?). 13 deliveries a year gets you there in four years.

I've only been here for two. I would love nothing more than to see 13 new aircraft in the next year. Believe me. This is an FO talking. Okay, maybe world peace, but that's about it. Somehow, I don't think it is going to happen. I hope I'm wrong.

 

[Dilligaff]

Sure sounds like a nice plan, doesn't it?

I have no doubt that we'll continue to grow for a while, but doubling our size in the next 4 years seems a little lofty to me.

Lofty, maybe... but it tripled during my almost five years (grew from 17 to 52 aircraft, or is it 55 now?). 13 deliveries a year gets you there in four years.

I've seen the rapid growth here during that time as well, but the economy was booming - times were different. Like I said, I have no doubt that we'll continue to grow but I'm not sure about 50+ planes in 4 years. That being said, I hope they prove me wrong.

 

[jpeace02]

This is sure to get a comment or 2, (disclaimer I'm one of the honored 500 NJAers) I think we're seeing where our fleets in disposal are going. Avantair is, not so quitely grabing our market share while we continue to cut.
For all you Sokal lovers out there, where's the plan????

At some point we have to compete with the rest of the market. Avantair seems to have quite a product and their selling the $hit out of it. Congrats. to you guys it's nice seeing someone doing so well but frustrating as hell seeing the 'industry leader' getting their lunch handed to them.

 

[wacoflyr]

The p180 is an excellent product for one specific part of the market. I don't know the disposition of Netjet's fleet, but it seems to me we are only competing in th light jet category. You guys still own most of the rest, no? I'm sure we are taking some of your market, but it can't be much in the grand scheme of things.

 

[johnsonrod]

The p180 is an excellent product for one specific part of the market. I don't know the disposition of Netjet's fleet, but it seems to me we are only competing in th light jet category. You guys still own most of the rest, no? I'm sure we are taking some of your market, but it can't be much in the grand scheme of things.

That's how I would assess it too. Avantair is the king of a fast growing niche. When you think about it, there are more people/companies that can afford cheaper aircraft (shares) than more expensive aircraft. The market is much bigger. That said, the larger Netjets aircraft serve a different market in terms of performance requirements. You may get some former Netjets Ultra, Encore, Beechjet and XLS owners migrating to the P180 due to economic constraints but you won't see many Hawker, X, Sovereign, G200, etc. owners doing the same (maybe a few but not many). Different market segments and different owner needs... The P180 certainly makes a lot of sense in this economy if you have consistent short range requirements (i.e., 1000 miles), a few passengers and less money to spend on share acquisition.

With Wall Street's recent success and huge bonuses, I'll bet Netjets is starting to sell a few more Gulfstream shares...

 

[gret]

Won't happen with Avantair. Easy to grow from 5 to 10, but not after that. Look at XOJet, and they are buying their own a/c.

I'm not sure NetJets has sold a Gulfstream share in two years. Cheaper to buy one of their Gulfstreams that are on the market than to buy a share.

Still no money out there to buy a/c. The buyers are too scared and it is so much cheaper today to charter.

It will turn in time, but time moves slowly.