Maintenance IT vendors and consultants have been drooling for years at the prospect of one of the big-three U.S. majors replacing its 40 year-old, patch-work maintenance system with a thoroughly modern maintenance or Enterprise Resource Planning system. When might that actually happen?
The liberalisation of African skies is often presented as a panacea to the continent’s many aviation problems (as observed last week at the African Airlines Association’s general assembly in Zimbabwe). But a look at the financial forecast provides sober reading.
According to IATA, African airlines made a loss of $700 million in 2015, a record which is expected to be followed by another loss of $500 million in 2016. This does not look promising for the continent’s MRO market.
Cabin maintenance specialist Trenchard Aviation has acquired fellow UK-based firm Reheat International, a repairer of on board galley equipment and cabin interior products.
Doubts over the immediate future of Monarch Airlines have subsided after the British carrier confirmed a £165m ($201m) cash injection from majority shareholder Greybull Capital yesterday (October 12).
British airline Monarch has undergone a tumultuous week that saw it first deny rumours of collapse; then negotiate a 12-day extension to its operating licence; and finally announce potentially the biggest investment in its history.
The scheduled and charter carrier – owner of MRO provider Monarch Aircraft Engineering – was rescued in 2014 by private equity firm Greybull Capital, which radically overhauled its business by scrapping long-haul flights in order to focus on the European market.
Despite returning to profit last year and predicting £40m pre-tax earnings for the current financial year, Monarch’s operating licence was only extended by the CAA over the weekend after Greybull promised extra funding.
Chinese low-cost carrier Colorful Guizhou Airlines has agreed to buy up to five Embraer E190 aircraft from the Brazilian OEM.
Australian carrier Qantas has posted an annual profit before tax of A$1.42bn ($1.1bn) for the year ending June 30, nearly doubling the A$789m it last year.
United Airlines has appointed two senior executives to its leadership team.
On August 17, US airline trade organisation Airlines for America (A4A) announced that, in the first half of 2016, the USA’s top ten mainline passenger airlines cumulatively reported pre-tax profits totalling $12bn.
This figure represented a 15.5 per cent return on revenues, the airlines’ average return exceeding by 1.4 percentage points the US top ten’s average 14.1 per cent pre-tax return in 2015.
This excellent first-half 2016 performance resulted in part from a 1.9 per cent year-over-year drop in operating expenses, falling fuel prices making up for increased labour, aircraft and airport costs, according to A4A.
Finnair has outlined a savings programme which aims to achieve operational costs of €20m ($22.6m) by June 2017.