Global geopolitical uncertainty, economic strife and supply chain issues didn’t weaken the market for business jets in the third quarter of 2022, according to Global Jet Capital’s latest “Business Aviation Market Brief.”
Aircraft manufacturers enjoyed an increase in order book backlogs to $43.5 billion from July through September—a year-over-year increase of 38 percent, according to the company. Global Jet attributes the market push to a strong labor market and an uptick among service providers countering the negative effects of increased interest rates and inflation (partly caused by supply chain challenges).
The number of transactions was down slightly year-over-year compared with 2021, but closing activity remains strong. Meanwhile, inventories rose slightly, usually indicating a slowing market. But the numbers of business jets up for sale remained at levels that are well below average. Transactions involving preowned business jets totaled $10.5 billion during this year’s third quarter, compared with $9.1 billion during the same period last year. Bluebook valuations increased year-over-year by an average of 36.8 percent compared with 2021.