Vista marks 20 years of success with strong 2023 performance
Leading private aviation group, Vista Global Holdings, has provided a market update and overview into its robust performance for 2023, highlighting continued growth and progress across all areas of the business.
Innovating the industry for 20 years through continuous investment in people, technology and infrastructure, the company has continued to expand its global footprint, enhanced its services and achieved record on-fleet flight hours.
In 2023, Vista captured more market share in the private aviation sector, now with over 5% of total market share thanks to two decades of strong and consistent performance. In the last year alone, the company has grown its on-fleet hours globally by 17% to 200,000 hours through double-digit growth across all geographies. With an addressable market of over 24,000 business jets there is significantly more scope and opportunity for the Group to capture further market share.
The company has increased its proportion of flight hours coming from Program subscription clients following three years of record momentum of new subscribers, making up around 60% of total on-fleet revenue for the Group. Program clients commit to a 3-year agreement, providing the company with long-term visibility on services required and revenue flow. During the year, the Group operated around 87,000 flights - 18% more YOY and 80% up against pre-pandemic levels - with the numbers expected to keep increasing in 2024.
Vista’s global presence continues to rise, with more than 50% of total flight hours coming from outside of the US. In 2023 the company made the decision to expand its service area in Africa with dedicated aircraft to support demand in the region. The company also increased the number of aircraft serving Asia and the Middle East, and extended the offering for its Global 7500 Members, granting guaranteed availability of this game-changing aircraft on every major continent around the world. Vista is the only company that is capable of offering this industry-leading aircraft on a global scale and providing such guarantees.
"2023 was another year of successful performance in our business," said Vista Founder and Chairman, Thomas Flohr. "Despite having to react to deep economic shifts and complex geopolitical uncertainty, we produced double digit growth across all markets - achieved whilst refurbishing and upgrading our fleet ahead of schedule, further improving our service standards and significantly increasing aircraft availability.
"Today, Vista is a truly global and recognizable brand all around the world thanks to the 20 years in which we have delivered an unmatched service to our clients, and we are well placed to further increase our market share over the next two decades.
He continued, "The trust of our Program Members is driving our steady growth trajectory, with ever more remaining loyal to Vista than ever before. This provides us with consistent, visible, revenue streams and a strong client base. Our long tenure in this industry means we can anticipate and understand what global business leaders want when it comes to global travel.
"Beyond the impressive commitment from our Members, I am equally proud of our team of 4,400 experts around the world who are fully committed in delivering the best service to our clients."
Fleet optimization and refurbishment
The addressable market of over 24,000 underutilized jets highlights an opportunity to change the inefficiencies of the entire industry. By increasing the utilization rates of each aircraft, the Vista Members’ fleet of over 300 aircraft, is instead optimized to deliver the best service at the best possible rates.
After its recent acquisitions, Vista has strategically deployed some of its free cash flow to accelerate the delivery of the most ambitious refurbishment program in business aviation - delivering it at scale and ahead of plan. In 2023, 93 aircraft refurbishments were completed — 50% more than initially planned - meaning more than 230 aircraft now offer the iconic silver and red service and feature the same onboard products customers are used to.
In 2023 the Group successfully completed the integration of its recent acquisitions in the U.S. and Europe, to give clients even more access and ensure Vista standards of service across all Group operators. The domestic Members’ fleet in the United States is now operating as Vista America (DBA) and the international fleet as VistaJet.
“Strong growth across all regions demonstrates the global diversity of our business which in turn supports resiliency to external market dynamics," said Group CFO, Charlotte Colhoun. "Despite a contraction in the global aviation market in 2023, Vista increased its hours flown by 17%, far outpacing the wider sector trend. Through 2023 our focus has been on optimizing across all aspects of the business to drive efficiencies and reinvesting cash generated to uplift our fleet globally.
"With a CAPEX phase behind us and no near-term debt maturities, we go into 2024 in a position of strength and will focus on maximizing revenues from our existing assets and infrastructure."
Investment in gobal infrastructure driving higher quality of service
Further steps have been taken to execute the integration strategy by investing into the Group’s global infrastructure, including seven dedicated maintenance hubs across the US and Europe. These facilities will bolster in-house maintenance capabilities, increasing speed, agility, and aircraft delivery levels.
During the year, the VistaJet Wellness program was launched, the only service of its kind in the industry, allowing clients to continue living well on the ground and in the air. Vista has also worked with more partners to create memorable experiences through its flights across the world and has refined onboard services from heightened Wi-Fi to extended private dining benchmarks globally.
Continued investment in Vista's people
To uphold its consistently high level of service on every flight, Vista is continuing its investment in the best people. In 2023, the Group developed an in-house management of maintenance, pilot and cabin training, and flying services, giving the company even greater control over safety, quality and availability of the fleet and crew. To strengthen the sector’s future and support upcoming industry generations,
Vista also introduced its pilot mentored program with the Atlantic Flight Training Academy. As part of the integrations, all cabin training for Vista colleagues from acquired companies is also complete. They join a global team of over 4,400 colleagues who are ready to assist customers on every flight.
BlueSky Business Aviation News | 8th February 2024 | Issue #734