31 Jan 2013 07:00
Air Partner plc
("Air Partner" or "the Group")
Pre-close Statement
Air Partner, the provider of air charter services to corporates, high net worth individuals and governments, is today releasing a pre-close statement ahead of entering a close period.
In the six months to 31 January, Air Partner has traded in line with the Board's expectations. The period was characterised by improved margins and reduced costs, which offset slower sales. Margin growth reflected an improved product mix, while lower costs were a direct result of the cost reduction programme undertaken last year. The Group continues to closely monitor overheads, while selectively investing in Air Partner's stated strategic growth areas: the US market, Private Jet broking in Europe, the Oil & Gas sector and growing our presence in emerging markets.
Private Jet broking (less than 20 seats)
Air Partner's Private Jet division performed slightly ahead of the prior year with a particularly strong performance in the US. High net worth individuals and corporate clients continue to eschew outright ownership of aircraft and fractional schemes in favour of flexible and more affordable card schemes.
Commercial Jet broking (more than 20 seats)
Broking within Commercial Jets was slightly slower overall compared to the prior year as overcapacity continued to impact the sector. However both the US and UK have performed well, with the former benefitting from election work, and the latter winning new contracts in the Tour Operator market for the 2013 European summer season.
Freight broking
Trading in the freight division continued to be challenging, reflecting the continuing downturn across the freight sector. Signs of recovery are not expected in the first six months of 2013 reflecting the continued difficult global economic conditions.
The Board expects the Group's half year results to be in line with the prior year's performance, which is consistent with its expectations for the full year ending 31 July 2013. Forward orders are slightly ahead year on year, and trading in the second half of the Group's financial year is historically stronger than in the first half. However, the Board remains cautious, reflecting the continued economic uncertainty and the lack of visibility characterising the industry. Air Partner remains debt free, with a net cash position of over £10 million.
Mark Briffa, CEO of Air Partner, commented: "Due to continued economic uncertainty, we remain cautious in our expectations for the current year. However, we are making progress against the Group's stated strategy with good trading in the US and within the Private Jet division. Air Partner's JetCard continues to be well received by both business users and high net worth individuals, as its flexibility, value and reliability are appreciated by clients, with the Group's first $1m card recently sold to a corporate client. Commercial Jets has further diversified its revenues and we anticipate this trend continuing in the second half of the year."
31 January 2012
Enquiries: |
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Air Partner: |
| T. +44 (0) 1293 844 788 |
Mark Briffa, CEO |
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Gavin Charles, CFO |
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Temple Bar Advisory: |
| T. +44 (0) 20 7002 1080 |
Tom Allison (M.07789 998020) |
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Joanna Crawford |
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About Air Partner:
Air Partner is an international provider of aviation services to industry, commerce, governments and individuals worldwide. The company has earned global recognition as a leading aircraft charter broker and organises ad hoc charters of aircraft of every size for any reason. Its three main divisions, supported by a host of support teams, comprise Air Partner Private Jet Broking, Air Partner Commercial Jet Broking and Air Partner Freight Broking. The Commercial Jet Broking division charters large airliners with 20 to 500 seats for groups of every size. The Private Jet Broking division offers ad-hoc charter and the Company's unique pre-paid JetCard scheme on aircraft with less than 20 seats. Air Partner Freight Broking charters aircraft of every size to fly any cargo anywhere, at any time. The Group, which was formed in 1961, is headquartered in the UK, with 20 international offices, and is fully listed on the London Stock Exchange. Air Partner's expertise at providing unsurpassed private flying experiences at the best price is recognised by the honour that it is the only company in the aviation industry to hold a Royal Warrant, as Supplier of Aircraft Charter to Her Majesty Queen Elizabeth II, a globally recognised mark of excellence. www.airpartner.com