ACC Aviation delivers a robust Q4 - bolstered by strong performance in the USA and new Technical Services expertise

Friday 4th February 2022

ACC Aviation, the global aviation services group, reported a strong fourth quarter, validating its decision to expand into new pillars of expertise in aviation finance and technical services.  Overall, charter activity and ACMI/leasing were steady, while the US market was extremely strong, dominated by sports charters and corporate groups, where health fears continue to drive people into charter.

“Navigating the pandemic in early 2021 we took the decision to accelerate our investment, expanding our expertise into aviation finance advisory; technical services and to bolster our US presence.  Accordingly, we delivered a much better financial year than anticipated,” commented Phil Mathews, ACC Aviation CEO.  By Q3 we were seeing additional revenue from clients tapping us for new, complementary expertise.  In Q4 we started winning technical services’ work, including successful referrals from other parts of the group.

Three years in the USA – the challenge is recruiting talent in a rebounding market

ACC marked three years of US operations at the close of 2021.  US activity has grown to be the largest part of its business and at the turn of the year, a fourth US base was added in South Florida, a key aviation hub.  “We are expanding the US team and aim to triple the workforce by year end.  “The challenge is finding good people, the whole industry is recruiting now,” Phil said.

ACC Aviation’s consulting business was able to build on the 51% growth achieved in 2020.  During Q4 the business was actively involved in aircraft transactions, working on pre-purchase aircraft lease inspections for banks and lessors. 

“Just before the holidays we were on a solid path of growth, then Omicron came along, putting some projects on pause,” said ACC Aviation Director Consulting Rob Watts. “ Now we are back on the upswing and look forward to a full recovery by the summer.”

“Aviation has come to terms with living with the economic effects of Covid – at least in a mild form,” he noted.   “Into 2022 we will be observing how the new start-up airlines - with newly raised capital, clean balance sheets and access to attractive lease prices on aircraft will fare alongside the established carriers who have needed to take on a lot of debt in order to survive.”

Q4 consulting and trading activity

• • Conducted a pre-lease inspection and technical acceptance for a Baltic ACMI carrier.

   

  Sports charter dominates Q4, other sectors will be back in 2022

   

  ACC Aviation offered a variety of charter solutions in Q4, responding to continued travel restrictions.  Strongest activity was in sports and corporate travel.  ACC supported elite sports teams, plus several big corporations who struggled with restricted scheduled service availability, plus a few leisure charters. “These sectors will continue to be busy and in 2022 we expect the return of broader charter in sectors that were quiet last year,” commented Director of Charter Richard Smith.  “New enquiries are coming in from the automotive industry and we are confident that demand for music tours and financial roadshows will return too now that confidence is returning”, he noted.

   

  “An adequate amount of charter capacity still exists on commercial airliners, although some prolific airline partners we used right up to Q4 are now returning to their normal network schedules, so capacity may tighten up a little.  As the market recovers however, new airline start-ups are launching, bringing extra lift, while established airlines may also have the confidence to add to their fleets,” he noted.

   

  “US charter performed exceptionally well in Q4, the American market being less hard hit by the same European travel restrictions. As US air carriers returned aircraft previously offered up for charter to scheduled services, however, we also experienced crewing issues, having identified aircraft availability,” commented Jamie Harris, ACC Aviation President Americas.    

   

  Charter highlights for Q4 included :

   

  • • Upped demand for US-Caribbean charters, including island hopping connections.

     

    “Continuing travel restrictions around the world in 2021 made it difficult to plan, but this translated into a big opportunity for us,” concluded Phil Mathews.  “ACC sits at the crossroads of any market movement within aviation - be it customers looking to grow their fleets, acquire aircraft, divest or reduce their fleet, arrange debt financing, valuations, appraisals, inspections through to offering charter and ACMI over short to long term periods.

     

    

     

    A bout ACC Aviation

     

    Founded in 2002 as an aircraft leasing specialist, today 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 and, through continued investment in developing and maintaining these partnerships with a persistent focus on innovation, ACC Aviation delivers superior solutions to a diverse and growing client base.

     

    YFM Equity Partners -backed ACC Aviation was ranked 85^th in the Sunday Times BDO national Profit Track 100 Awards this Spring, lauded for its contribution to the economy and society during the pandemic.  ACC Aviation first entered the Profit Track 100 line up in 2020 and has featured in the Sunday Times HSBC International Track 200 since 2013.  It was also welcomed as an FT1000 ranked company for the first time this year, entering the fifth annual edition of the Financial Times’ Top 1000 European companies in 786^th place, achieving a notable growth rate of 44.1%. 

     

     

    www.ACCAviation.com