Avia Solutions Group‘s first half results: EBITDA grew by 20 % up to €133 million

Avia Solutions Group, one of the world’s largest ACMI (Aircraft, Crew, Maintenance, and Insurance) providers, has unveiled its financial performance for the first half of 2023. Compared to the first half of last year, the group’s revenue grew by 22% to €955 million. Adjusted EBITDA increased by 20% to €133 million.  

Due to the group’s investments in global expansion, the first quarter of this year had a €34 million loss; nevertheless, the second quarter showed a striking contrast. During the second quarter of 2023, the group generated profit of €31 million, which more than doubled compared to the same period last year, and adjusted EBITDA increased significantly by 60% to €110 million. 

Throughout the first half of 2023, the group grew its fleet to 19 additional aircraft. Presently, the group commands a fleet of 192 aircraft, comprising 153 passenger and 39 cargo aircraft. The addition of new aircraft for operational deployment, crew recruiting, and associated outlays led to a € 3 million half year loss. Despite this, the group is positioned for growth and global expansion.

Jonas Janukenas, the CEO of Avia Solutions Group, expressed, "Our paramount business direction remains in ACMI services. With an evident surge in market demand, our investments are not only directed at fleet advancement but also encompass the strategic acquisition of airlines to strengthen our position in the market, bolstering our operational prowess and extending our global flight footprint." 

Although the Group's capacity is one of the largest on the market, ACMI's demand still exceeds supply, and the company sees a lot of prospects here. By acquiring two ACMI airlines, the leading Slovak AirExplore, and Synergy Aviation, operating in the United Kingdom, the group significantly improved its operational capacity. Additionally, BBN Airlines Indonesia, the group's subsidiary in Indonesia, will soon begin operations, expanding the group's regional presence.

"Our present development objectives are predominantly centered around Latin America, Asia, and Australia. By strategically reallocating aircraft to regions characterized by counter-seasonal patterns, we aim to adeptly manage the seasonal decline in demand within Europe during the winter," explains Janukenas. 

Revenue generation for the Group within the first half of 2023 was exhibited by regional distribution, with Europe constituting the lion's share at 71%, followed by the Asian region at 16.3%, North and South America at 6.6%, Africa at 4.7%, and Australia and the Pacific region at 1.4%. 

In spring, Avia Solutions Group relocated its headquarters to Dublin, Ireland, consequently positioning itself as the second-largest registered aviation enterprise in the country. Boasting a global footprint that spans 68 countries, the group maintains a network of offices in strategic locales, including Lithuania, New York, Dubai, and Dublin, facilitating seamless global operations. 

As the group looks ahead, its strategic blueprints encompass growth and sustained global presence. Notably, FL Technics, a subsidiary of the group specializing in aircraft repair services, recently unveiled plans to construct state-of-the-art aircraft repair hangars in Punta Cana and Bali, further underpinning the organization's commitment to pioneering excellence within the aviation sector.