Aircraft Operating Lessors – Aircraft In-Service vs. On Order

Aircraft Operating Lessors – Aircraft In-Service vs. On Order

Aircraft Operating Lessors – Aircraft In-Service vs. On Order


transportation_plane_32The aircraft operating lease is a major driver of industry growth in aircraft ownership and operation


transportation_plane_32Aircraft operating leases are now about 40% of all commercial aircraft ownership in the world and may grow to 50% over the long term


transportation_plane_32While there are dozens of operating lessors, about 20 companies dominate the landscape


transportation_plane_32Of those 20, two (GECAS and AerCap), are significant outliers with almost 3,000 aircraft between them


transportation_plane_32There are an additional 10 companies that have fleet sizes of between 200 and 400 aircraft


transportation_plane_32The scatter plot chart depicts the number of aircraft in-service against the number of aircraft on order by operating lessor company


transportation_plane_32This chart captures the aircraft fleet size by company and also shows who is primed to grow significantly in relationship to their current fleet


transportation_plane_32The left lower corner of the chart shows a not very readable cluster of lessors who have sizable aircraft fleets but little or no aircraft on order (we’ll explain why this is in a later post)


transportation_plane_32GECAS and AerCap have significant market clout as a result of their overall scope, but on a relative basis, don’t have that many aircraft on order given their large size


transportation_plane_32However, Air Lease Corp, BOC (Bank of China), SMBC, and ICBC are primed to grow with many aircraft orders given their relatively small size in the context of current fleet


transportation_plane_32Air Lease Corp has more orders than its installed fleet and BOC, SMBC, and ICBC have a total of 600 aircraft on order relative to its 900 aircraft in-service


transportation_plane_32Finally, Asian lessors have grown significantly in recent years as China, in particular, have been making strong moves in the operating lease space; look for more of that in the future