29th Apr 2010 07:00
29 April 2010
Interim Management Statement
In advance of its Annual General Meeting today, BBA Aviation plc, the leading global aviation support and aftermarket services provider, is issuing an Interim Management Statement for the period from 1 January to 28 April 2010.
In the first quarter to 31 March 2010, Group revenue was flat against the prior year and increased 2% on an organic basis (at constant currency and fuel prices), in line with our expectations.
In Flight Support, organic revenues grew by 5% with Signature up 7% and ASIG up 1%. Signature benefited from the continued recovery in business and general aviation (B&GA) flying hours, particularly in the US market, with the fractional and charter segments strong, and from further market share gains. In ASIG both movements and de-icing were broadly in line with the prior period.
In Aftermarket Services and Systems, which did not feel the full impact of the economic downturn until the second quarter of 2009, organic revenues were down 4%, as expected due to weakness in APPH. Our aftermarket businesses continue to benefit from the cost reduction measures taken in 2009.
The Group's financial position is broadly unchanged from 31 December 2009 apart from normal seasonal trading cash flows, and we continue to focus on working capital and capital expenditure control.
Since the end of March trading has followed a similar trend to the first quarter of the year, although our European Flight Support businesses and ASIG US were affected by the recent closure of European airspace. This is only expected to have a minor impact on our results.
Commenting on the Interim Management Statement, Simon Pryce, BBA Aviation Group Chief Executive said:
"The early signs of an emerging recovery in B&GA flying hours experienced in the last quarter of 2009 have continued into 2010. Our Flight Support businesses are already benefitting and our later cycle Aftermarket Services and Systems businesses should begin to see the impact of this in the second half. Having taken significant cost reduction actions across the Group in 2008 and 2009, we are well placed to maximise the benefit from this recovery, although the profile it will follow remains unclear, and we continue to see attractive secular growth prospects and consolidation opportunities in our major markets."
BBA Aviation plc will issue its Interim Results for the period ended 30 June 2010 on 5 August 2010.
Enquiries:
BBA Aviation plc
Mark Hoad, Group Finance Director Designate
020 7514 3955
Brunswick Group LLP
Simon Sporborg / Jayne Rosefield
020 7404 5959
Notes to Editors
BBA Aviation plc is a leading global aviation support and aftermarket services provider with market leading businesses and attractive growth opportunities. BBA Aviation's Flight Support businesses (Signature Flight Support, ASIG and Executive Beechcraft) are focused on refueling and ground handling of business and commercial aviation aircraft. Its Aftermarket Services and Systems businesses (Ontic, International Governor Services, APPH, Dallas Airmotive, Premier Turbines, H&S Aviation, International Turbine Service and Barrett Turbine Engine Company) are focused on the repair and overhaul of jet engines and the design, manufacture and services of aerospace sub-systems and components. For more information, please visit www.bbaaviation.com.
This statement is available in electronic format from the Company's website, www.bbaaviation.com.
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