Small to midsize companies that use business aircraft outperform similar-sized companies that don’t utilize business aircraft, according to a new study released by NEXA Advisors at the recent National Business Aviation Association convention. 
http://www.nbaa.org/business-aviation/NEXA-Report-Part-2-2010.pdf

“This study reveals that use of a business airplane is a sign of a well-managed company, regardless of the size of the enterprise,” said NBAA President and CEO Ed Bolen. “The level of productivity, flexibility and efficiency business aviation provides allows companies of all sizes to remain productive despite the tough economy we’ve been experiencing, and this latest study confirms it,” Bolen added.

The S&P SmallCap 600 companies that used business aircraft to conduct business were affected less by the recession, could contact customers in remote areas easier and achieved better financial results. The study pointed out that the business aircraft also helped retain existing customers and help create new revenue streams.

Companies were judged on a number of performance factors including enterprise value, revenue & profit growth and asset efficiency over the last five years. “Users” were identified through interviews as companies that utilized an aircraft through ownership, fractional ownership or charter, as an aid in conducting business.

Each company’s performance varied, but as a group, business aviation users were much more successful at returning value to their shareholders. The total return (share price appreciation & dividends) was 245 % higher than non-users.

The report also confirmed that business aircraft users generated more income based on productivity and efficiency. They had a 70 percent higher return on assets, a 40 percent higher return on equity and a 21 percent higher asset turnover along with 22 percent higher average revenue growth because opportunities could be tapped into.

Is your company well-managed and poised to outperform? You can be, and we’re happy to help with a number of business aircraft and many options to choose from.

Steve Wiley