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Airport Operations
First Research, April 2012, Pages: 10
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Executive Summary
Brief Excerpt from Industry Overview Chapter:
The US aviation services industry includes about 4,200 companies with combined annual revenue of about $18 billion. Major US companies include Atlantic Aviation FBO, Million Air Interlink, and Signature Flight Support. The industry is concentrated: the 50 largest companies account for more than half of industry revenue.
The global aviation services industry generates annual revenue of about $50 billion. Top international companies include Hong Kong Aircraft Engineering Company, Israel Aerospace Industries, SIA Engineering Company, Singapore Technologies Aerospace, and Lufthansa Technik.
Companies in the aviation services industry operate airports for commercial and general aviation and provide support services such as air traffic control, aircraft fueling and maintenance, baggage and cargo handling, and rental of hangar space.
COMPETITIVE LANDSCAPE
Demand for aviation services is driven by business and leisure air travel and the size and age of aircraft fleets. The profitability of individual companies depends on efficient operations. Large companies enjoy economies of scale in purchasing. Small companies can compete effectively in hometown markets. The industry is labor-intensive: average annual revenue per employee is about $125,000.
PRODUCTS, OPERATIONS & TECHNOLOGY
Major services include aircraft maintenance and repair (65 percent of industry revenue), fixed-base operator services (20 percent), and ground handling (10 percent). Other services include airport administration and operation and wholesale fuel sales.
Companies in the industry operate airports and provide airport-based support services to commercial airlines and the general aviation (private and business plane) market. Many companies in the industry are known as...
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