Avionics News December 2015 - 7

AEA Announces Third-Quarter
2015 Avionics Market Report
Total sales exceed $1.7 billion in first nine months of 2015

AEA
Avionics
Market Report

Published
by the

The Aircraft Electronics Association released its third-quarter 2015 Avionics Market Report.
In the three-month period of July, August and September 2015, total worldwide business and general aviation avionics sales amounted
to $581,810,699.00, or more than $581 million.
The figure represented a 5.3 percent decrease in sales compared to the third-quarter 2014 amount of $614,406,537.56, or more than $614
million as reported a year ago by the participating companies.
First nine months of 2015 worldwide business & general aviation avionics sales
Quarter
1Q 2015
2Q 2015
3Q 2015

Retrofit
$277,272,571.02
$291,223,422.00
$294,351,534.77

Forward-fit
$309,827,641.90
$314,296,259.40
$287,459,164.23

Total Sales
$587,100,212.92
$605,519,681.40
$581,810,699.00

YTD Totals

$862,847,527.79

$911,583,065.53

$1,774,430,593.32

In the first nine months of the year, total worldwide business and general aviation avionics sales amounted to $1,774,430,593.32, or
more than $1.7 billion as reported by the participating companies. This marked a 7.5 percent decrease in year-over-year sales compared to
the first nine months of 2014, which was more than $1.9 billion.
First nine months of worldwide business & general aviation avionics sales
Retrofit
Forward-fit
YTD

2014
$930,518,430.48
$987,764,155.88

2015
$862,847,527.79
$911,583,065.53

% Change
-7.3%
-7.7%

$1,918,282,586.36

$1,774,430,593.32

-7.5%

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 $1.7 billion in sales during the first nine months of 2015, 51.4 percent came from forward-fit (avionics equipment
installed by airframe manufacturers during original production) sales, or more than $911 million. The retrofit (avionics equipment installed
after original production) market amounted to 48.6 percent of sales during the first nine months of the current year, or more than $862 million.
According to the companies that separated their total sales figures between North America (U.S. and Canada) and other
international markets, 64.3 percent of sales in the first nine months occurred in North America (U.S. and Canada), while 35.7
percent took place in other international markets.
2015 percentage of total sales by market
Quarter
1Q 2015
2Q 2015
3Q 2015
YTD Totals

Retrofit
47.2%
48.1%
50.6%

Forward-fit
52.8%
51.9%
49.4%

U.S./Canada
65.5%
63.5%
63.9%

Other International
34.5%
36.5%
36.1%

48.6%

51.4%

64.3%

35.7%

"Unfortunately, the report shows some softness in sales this quarter and in the current year," said AEA President Paula Derks. "With a
year-over-year sales decline of 7.5 percent, clearly, our industry continues to face some economic challenges that may be primarily related
to the strength of the U.S. dollar in the international markets. In addition, while the FAA reports that the ADS-B equipage pace has grown
in the past year, it has not resulted in a similar increase in total avionics sales. The AEA will continue to monitor these and other economic
forces moving forward."
More
information about the AEA Avionics
Information/Registration
Market Report is available online at www.aea.net/marketreport. q

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Table of Contents for the Digital Edition of Avionics News December 2015
