Gain Exclusive Insight on the State of the Business Jet Market

The business jet market continued to stabilize in Q3 2024 after experiencing unprecedented utilization and demand in the aftermath of the COVID-19 pandemic. Year-over-year, there was a decrease in flight operations, an increase in inventory levels, and a decline in OEM order intake. Despite this shift, the market continues to show strength and resilience. Driven by strong new deliveries, transactions leveled off following declines in 2023. OEMs reported strong backlogs. Flight operations stayed above pre-pandemic levels, and business jet availability — particularly for newer, more desirable aircraft — remained low. Additionally, the macroeconomic environment experienced steady growth and declining inflation levels, despite ongoing headwinds. Overall, the industry is well-prepared to handle any potential market disruptions.

• Global economic growth continued through Q3 2024, and central banks are now lowering interest rates.
• Flight operations declined 1 percent year-over-year in Q3 2024 but were 1 percent higher than Q2 and 15 percent above Q3 2019 pre-COVID-19 levels, reflecting an enduring expansion in the user base for business aviation.
• OEM revenue increased 15.3 percent year-over-year in Q3 while backlogs remained high at $45.6 billion.
• Transactions were stable through the end of Q3 2024 as OEMs continued to work towards resolving supply chain and labor constraints and activity began to pick up in the pre-owned market.
• As more aircraft were listed for sale, inventory increased in Q3 2024.
• Most aircraft models continued to experience depreciation in line with historical norms during Q3 2024. However, younger aircraft experienced less depreciation than older aircraft.

In Q1 2024, the business jet market continued to normalize after the rapid growth of the post-pandemic period. Flight operations slowed from all-time highs but stayed above pre-pandemic levels. Driven by an increase in new deliveries, transactions stabilized after a period of declines. As more aircraft were publicly listed for sale, the number of aircraft available for sale rose. The market, previously characterized by seller advantage and rising prices, shifted to a more balanced state with stable prices, especially for newer, more desirable aircraft. OEMs maintained high backlogs and long lead times. Consequently, the business jet market demonstrated resilience and is expected to stay active in the fourth quarter of 2024.

Download the Q3 2024 Market Brief