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16 Feb 2021 07:00
16 February 2021
Gama Aviation Plc (AIM: GMAA)
("Gama Aviation" or the "Company")
FY20 Trading Update
Gama Aviation, the global business aviation service provider, is pleased to provide an update on trading for the year ending 31 December 2020.
Underlying performance, excluding the Company's share of losses from its associate China Aircraft Services Limited ("CASL"), remained stable during the second half of the year. The second half includes the residual benefits from government support programmes.
Operational performance partially recovered in the second half of the year, after having experienced the significant impact of COVID-19 on the aviation sector and the business. In the Ground division there was a positive trend quarter on quarter from the second quarter lows. Third quarter and fourth quarter engineering hours were 74% and 80% respectively of the equivalent periods in 2019. In the Air division, the global fleet continued to increase in the second half of the year. The Company's major 'special mission' contracts performed as expected and in accordance with their contracted service levels, including the recently announced Helicopter Emergency Medical Services (HEMS) for the Scottish Ambulance Service which commenced in June 2020, and the fixed wing air ambulance services for the Government of Guernsey and the Government of Jersey, which commenced in July 2020.
Gama Aviation continued to be adversely impacted by ongoing losses at its Hong Kong based associate, CASL, albeit by less than in the first half of the year, as a result of the COVID-19 pandemic's impact on the commercial airline market which CASL services.
The Company continues to manage and closely monitor cash. As at 31 December 2020, the Company held cash balances totalling US$16.1m in addition to having US$24.7m of undrawn funds remaining on its US$50m RCF. Since the year end the Company has acquired Jet East Aviation Corporation, LLC ("Jet East"), for initial cash consideration of US$7.7m and has repaid $2.6m of Jet East's debt that was taken on as part of the acquisition.
The Group intends to release its audited results for the year ending 31 December 2020 by the end of April.
For more information contact:
Gama Aviation Plc +44 (0) 1252 553000
Marwan Khalek, Chief Executive Officer
Daniel Ruback, Chief Financial Officer
Camarco +44 (0) 20 3757 4992
Ginny Pulbrook
Geoffrey Pelham-Lane
Jefferies International +44 (0) 207 029 8000
Simon Hardy
Will Soutar
Gama Aviation - Notes to Editors
Founded in 1983 on the simple purpose of providing aviation services that equip its customers with decisive advantage, Gama Aviation Plc (LSE AIM: GMAA) is a highly valued global partner to blue chip corporations, government agencies, healthcare trusts and private individuals.
The Group has three global divisions: Business Aviation (Aircraft Management, Charter, FBO & Maintenance), Special Mission (Air Ambulance & Rescue, National Security & Policing, Infrastructure & Survey, Energy & Offshore); and Technology & Outsourcing (Flight Operations, FBO, CAM software, Flight Planning, CAM & ARC services)
More details can be found at: http://www.gamaaviation.com/
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