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Helicopter Sales Slump in First Half of 2022

Among select helicopter models for purchase by Airbus, Bell, and Leonardo,106 units sold collectively during the year's first half. [Courtesy: Aero Asset]
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Key Takeaways:

  • Used single-engine turbine helicopter sales dropped by 10% in the first half of the year due to a 65% decrease in available inventory, making it a tight seller's market.
  • Demand for popular models like the Airbus AS350 and Bell 407 remains high, particularly in North America, leading to very low absorption rates and historic lows for EMS and utility helicopter inventory.
  • European sales decreased by 50% due to the Russia-Ukraine war, but overall demand for turbine helicopters is expected to remain strong in the second half of the year, partly driven by bonus depreciation tax incentives.
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Aero Asset, a Canadian Helicopter brokerage firm, said in its half-year helicopter market trends report this week that a dwindling supply of used single-engine turbine helicopter inventory also caused sales volume to shrink. 

Lower Sales Due to Lower Inventory

Aero Asset tracked retail sales of select helicopter models for purchase by Airbus, Bell, and Leonardo. It said the 106 units sold collectively during the year’s first half, worth $200 million, was down 10 percent compared to the same period in 2021. Moreover, 65 percent fewer aircraft were available this year. The supply market is so tight that Aero Asset says the outstanding sales inventory could be exhausted in three and a-half months. For instance, during the second quarter, of the units it tracked, only 64 aircraft worth $135 million were available for sale, according to the report. 

Michael Wildes

Michael Wildes holds a master’s degree in Logistics & Supply Chain Management, and a bachelor’s degree in Aeronautical Science, both from Embry-Riddle Aeronautical University. Previously, he worked at the university’s flight department as a Flight Check Airman, Assistant Training Manager, and Quality Assurance Mentor. He holds MEI, CFI & CFII ratings. Follow Michael on Twitter @Captainwildes.

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