Total sales exceed $614 million for three-month period; sales rise to more than $1.9 billion in first nine months of 2014.
The Aircraft Electronics Association has released its third-quarter 2014 Avionics Market Report.
In the three-month period of July, August and September 2014, total worldwide business and general aviation avionics sales amounted to $614,406,537.56, or more than $614 million.
The figure represented a 5 percent decrease in sales compared to the third-quarter 2013 amount of $646,888,397.14, or more than $646 million as reported a year ago by the participating companies.
The third-quarter amount brings total worldwide sales for the first nine months of 2014 to $1,918,282,585.36, or more than $1.9 billion.
Despite the third quarter indicating a slowdown in sales compared to the first and second quarters of 2014, this year’s sales are up 2.7 percent compared to the first nine months of 2013, which totaled $1,868,096,452.12.
“While it is disappointing to see the third-quarter sales drop slightly compared to the first half of the year, the industry has experienced modest year-over-year growth in sales compared to the first nine months of 2013,” said Paula Derks, AEA president. “The report is only in its second year of quarterly reporting, so it’s difficult to draw any conclusions on seasonality of sales just yet; however, this will be worth watching in future years.”
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/certified and 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.
Of the more than $614 million in total sales in the third quarter, $323,685,864.93, or more than $323 million, came from forward-fit (avionics equipment installed by airframe manufacturers during original production) sales and comprised 52.7 percent of total sales. Retrofit (avionics equipment installed after original production) sales amounted to $290,720,672.63, or more than $290 million, comprising 47.3 percent of total sales.
According to the companies that separated their total sales figures between North America (U.S. and Canada) and other international markets, 63.4 percent of the sales volume occurred in North America (U.S. and Canada), while 36.6 percent took place in other international markets.
First nine months of 2014
Quarter Retrofit Forward-fit Total Sales
1Q 2014 $321,328,276.08 $330,420,718.04 $651,748,994.12
2Q 2014 $318,469,481.77 $333,657,572.91 $652,127,054.68
3Q 2014 $290,720,672.63 $323,685,864.93 $614,406,537.56
YTD 2014 $930,518,430.48 $987,764,155.88 $1,918,282,586.36
For more information, visit www.aea.net/marketreport.