forward-fit and retrofit sales reported for first time.
NASHVILLE, TENN., March 13, 2014 -- On Thursday, March 13, the Aircraft Electronics Association announced its 2013 year-end Avionics Market Report during the opening general session of the 57th annual AEA International Convention & Trade Show at the Gaylord Opryland Convention Center in Nashville, Tenn.
As part of its report, the AEA also announced it has narrowed the dollar amount reported by the participating manufacturers to only include the business and general aviation markets, which resulted in the association adjusting its 2012 year-end sales figure reported a year ago.
With this adjustment, 2013 year-end total worldwide business and general aviation avionics sales amounted to $2,429,298,684.50, or more than $2.4 billion.
This compares to the adjusted amount of $2,229,317,197.54, or more than $2.2 billion for 2012 year-end total sales.
The number of companies that participate in the report may change on a quarterly, semiannual and/or annual basis, and any comparative analysis of the data should take this into consideration. Therefore, while the total year-end sales indicate a 9 percent increase, when comparing total sales reported by the same participating companies in 2012 and 2013, the report shows sales growth of 6.9 percent.
In addition, of the more than $2.4 billion in total sales reported for 2013, $1,315,035,458.50, or more than $1.3 billion, came from forward-fit sales and accounted for 54 percent of total sales.
Retrofit sales amounted to $1,114,263,226.00, or more than $1.1 billion, comprising 46 percent of total sales.
"The association and the participating manufacturers agreed that it was important to adjust the report to only reflect the amount of total avionics sales in the business and general aviation markets," said Paula Derks, AEA president. "It was recently discovered that some of the participating manufacturers inadvertently included sales from their military and air transport markets when they reported 2012 year-end sales figures. However, the mission of the AEA Avionics Market Report is to exclusively measure the value of the avionics industry for business and general aviation, both forward-fit and retrofit sales.
"It's also important to note that the 2012 year-end adjusted amount is not a reflection of a downturn in sales. It is simply a correction of last year's sales total for the business and general aviation market only, and we do not expect any further adjustments to future reporting."
As anticipated, the data in the 2013 year-end report was expanded from the previous year's report. The participating manufacturers not only reported their total sales amount, but they also reported the total sales generated in both the forward-fit and retrofit markets for the first time.
The dollar amount reported (using net sales price, not manufacturer's suggested retail price) includes: all business and general aviation aircraft electronic sales -- including all component and accessories in cockpit/cabin/software upgrades/portables/noncertified aircraft electronics; all hardware (tip to tail); batteries; and chargeable product upgrades from the participating manufacturers. The amount does not include repairs and overhauls, extended warranty or subscription services.
History and Background Information:
The AEA first introduced its Avionics Market Report March 26, 2013, during the 56th annual AEA International Convention & Trade Show in Las Vegas, Nev.
"Prior to 2012, there never had been an effort to capture the true dollar size of the business and general aviation avionics market," Derks said. "The concept to produce the AEA Avionics Market Report began in April 2012, when the AEA formed an ad hoc committee comprised of representatives of avionics manufacturers to create a tool for strategic planning and examining market share. This report provides valuable information to promote our industry to investors and inform our elected officials of the global economic value of the business and general aviation avionics industry."
To ensure confidentiality, the participating manufacturing companies submit their sales figures to an independent third-party accounting firm retained to produce the AEA Avionics Market Report. The companies currently participating in the report include:
- Accord Technology
- Anodyne Electronics Manufacturing Corp.
- Aspen Avionics
- Cobham (Mineral Wells)
- Cool City Avionics
- FreeFlight Systems
- Honeywell Business & General Aviation
- Jupiter Avionics
- Latitude Technologies
- L-3 Aviation Products
- Mid-Continent Instruments and Avionics
- PS Engineering
- Rockwell Collins
- Sandia Aerospace
- Shadin Avionics
- Trig Avionics
- Universal Avionics Systems Corp.
The AEA Avionics Market Report should not be considered a predictive indicator of future industry sales activity. The circumstances discussed may not occur in future time periods, and actual results could differ materially as a result of known and unknown risk factors and uncertainties affecting the AEA Avionics Market Report and the companies that participate in the report. No forward-looking statement can be guaranteed. Forward-looking statements speak only as of the date on which they are made, and the Aircraft Electronics Association, along with the participating companies in the AEA Avionics Market Report, undertake no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.
For more information and history of the AEA Avionics Market Report, click here.
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Founded in 1957, the Aircraft Electronics Association represents nearly 1,300 member companies in more than 40 countries, including approved maintenance organizations specializing in maintenance, repair and installation of aircraft electronics systems in general aviation aircraft. The AEA membership also includes manufacturers of aircraft electronics equipment, instrument repair facilities, instrument manufacturers, airframe manufacturers, test equipment manufacturers, major distributors, engineers and educational institutions.