JETNET releases June 2012 and six months 2012 data
JETNET has released June 2012 and YTD 2012 results for the pre-owned business jet, business turboprop and helicopter markets.
The market summary is highlighted in Table A are the key worldwide trends across all aircraft market segments comparing June 2012 to June 2011. The “Fleet For Sale” percentages for all market sectors were down in the June comparisons.
Business jet sale transactions increased (4.9%) YTD ending June 2012 compared to 2011 and they are selling in less time (14 fewer days), as shown in the Worldwide Trends in Table A. Business Turboprops also showed a small improvement at .2%, whereas Turbine and Piston helicopters saw double-digit declines in YTD sale transactions, at 14.2% and 12.1% respectively. The business jet average asking price increased 4.9% for the 2012 YTD comparison to the same period in 2011.
Sale transactions for turbine helicopters have declined at an overall average of 14.9% since January 2012.
However, the average asking price increase of 9.7% continues to fuel the decline in pre-owned sale transactions. It is also now taking 21 days longer, compared to the same period last year, to find a buyer.
US economy gross domestic product, the 2nd quarter 2012 advance estimate shows real gross domestic product-the output of goods and services produced by labor and property located in the United States-increased at an annual rate of 1.5% in the second quarter of 2012 (that is, from the first quarter to the second quarter), according to the “advance” estimate released by the Bureau of Economic Analysis. In the first quarter, real GDP increased 2.0%, up from 1.9% reported last month.
The Bureau emphasised that the second-quarter advance estimate is based on source data that are incomplete or subject to further revision by the source agency. The “second” estimate for the second quarter, based on more complete data, will be released on August 29, 2012.
The report showed the economy grew for the 12th straight quarter. However, the weaker growth adds to worries that the economy could be stalling three years after the recession ended. The 1.5% growth rate in the second quarter was the weakest since the economy, as measured by the gross domestic product, expanded at a 1.3% rate in the third quarter last year, as shown in Chart A.
Expectations for the remainder of 2012 remain cautiously positive, and it is hoped that the YTD 4.9% growth rate in business jet retail transactions can be sustained throughout the balance of this year.