VZM Management Services

We have embarked on an uncertain era as new leadership in Britain and the US is reassessing its role on the international stage. Despite a lackluster 2016 global economy, the airline industry continued to grow and airline profits remained at record levels thanks to low oil prices. For 2017 profitability is under threat from higher – but plateauing – oil prices and increased other operating costs.

In our VZM Market Outlook 2017 for commercial aviation & maintenance we look back at recent developments and provide our thoughts regarding future developments.

VZM Market Outlook: airline financial results 2012-2016

North America continues to be the best performing region in terms of profitability whereas traffic and capacity growth in the Middle East continues to outpace other parts of the globe. Questions arise whether the latter is sustainable as overcapacity looms driving margins for Gulf carriers down. Maintenance however, seems unaffected by economic uncertainties as further growth is predicted allowing new technologies to enter the workplace to improve the competitiveness of MRO organizations worldwide.

The 17th Outlook is freely accessible for all subscribers to the VZM site in PDF format through our VZM Publications page. Subscription is free of charge and without any obligations. To become a subscriber of the VZM site and to have access to our Outlook simply click the Subscribe-link.

A hard copy is available on request.