Preowned Helicopter Market Trends shows improving conditions
With NBAA Convention just around the corner, North America is the most active region Q3 accounting for 37% of preowned twin engine helicopter buyers up from 31% Q2.
Year to date (YTD), 85 twin turbine helicopters closed to retail buyer’s (across all weight classes) and twin engine supply for sale decreased nearly 20% to 230 units.
Light twin market led by Airbus
The EC135/145 market continues to dominate resale activity, especially in the 2006 to 2014 year of manufacture segment. Much of the demand is driven by US air ambulance appetite for P&W powered SP-IFR machines. The report highlights six EC135 and seven EC145 deals pending at the end of Q3. Light twin supply is down 17% year-on-year (YOY) and so is trading volume equating to a stable absorption rate.
The Leonardo AW109 markets saw a substantial drop in Grand & GrandNew preowned transaction activity, however in contrast with YTD sales volume, Q3 is clearly an anomaly. Power retail sales volume remains stable.
Lower pricing triggered increased demand for Bell 429, with three retail trades Q3; however, a total of four retail trades YTD means Bell 429 absorption rate remains higher than competing markets.
AW139 dominates the medium twin market
The Leonardo AW139 leads the preowned medium twin market, with five retail sales Q3 and ten YTD. Supply continued its decrease YOY to twenty two aircraft for sale at the end of Q3. This equates to an absorption rate of just fourteen months, down significantly YOY; good news as the manufacturer recently delivered its 1,000th AW139.
The Bell 412 market remains soft with zero transactions Q3 and only three YTD.
Supply in the Airbus H155 market doubled Q3 and absorption rate remains high with three years of supply at Q3 trade levels.
Sales volume in the Sikorsky S76C+/C++ market was flat Q3. Sales volume is up YOY, but oversupply continues to hamper the C+ and utility segments of this market.
Increased activity in the heavy twin market
The H225 has seen one sale per quarter YTD. A consistent sales volume and five deals currently pending at various transaction stages, suggests a better market outlook. With sixteen units for sale however, absorption rate remains high at four years of supply at Q3 trade levels.
The S92 market saw its first preowned transaction in five years and supply in this market continued to decrease Q3, down 50% YTD.
