CHC Group grows revenue by 11% in last quarter
CHC Group, one of the world’s biggest helicopter operators, increased its revenues in the first quarter of fiscal year 2015 by 11 per cent, when compared with the same period in the previous year.
CHC’s revenue for the quarter, which ended on July 31, totalled $461 million, however the listed company made a net loss of $34 million.
Adjusted EBITDAR was $112 million, up by 1 per cent from last year.
William Amelio, president and CEO of CHC Group, said: “The first quarter was a solid step towards achieving the superior, long-term financial performance that we expect for CHC. Expected long-term industry demand, especially for flying services to deepwater and ultra-deepwater locations, remains attractive, and we are positioning CHC to profitably meet the transportation needs of our customers.”
Helicopter Services, which incorporates all of CHC’s flight operations, accounts for about 90 percent of company sales, and was up 9 per cent in the quarter to $424 million. The company attributed this growth to new customer contracts, a greater demand for search and rescue services in the West North Sea region and a large search and rescue contract operated on behalf of Shell Australia using EC225 helicopters.
Heli-One, CHC’s maintenance, repair and overhaul (MRO) business, increased its external revenue by 34 per cent to $37 million, with growth triggered by new contracts in Japan and Malaysia.
Joan Hooper, CFO of CHC Group, said: “Our first-quarter results were in line with our expectations and we are pleased with our progress toward meeting the full-year targets we communicated in August. Every action we are taking is guided by our fundamental commitment to safety and our financial priorities: strengthening our balance sheet, expanding EBITDAR dollars and margin, and growing with discipline.”
Recent analysis from Helicopter Investor showed that despite being headquartered in Canada, over 50 per cent of CHC’s revenues come from Europe, with a smaller – but still significant – share coming from Latin America and Australia.
CHC’s aircraft fleet currently includes 236 helicopter, with another 28 helicopters on firm order.