Era’s second quarter profit rises despite low oil price

Era Group announced an impressive profit of $11.3 million for its second quarter of 2015, compared to $5.2 million in the same quarter of 2014. It did this despite falling sales which were down by $15.8 million.

The results were helped by the sale of its Alaskan FBO bases for $14.3 million but it also cut costs impressively. Without the sale of the Alaskan business and its acquisition of Sicher Helicopters in Columbia its net income would still have been $4.1 million. The FBO sale also contributed to the fall in sales. Era also saw a drop in medium helicopter utilization.

Era also sold five single engine helicopters in the quarter. It made cash proceeds of $3 million and net losses of $0.2 million. The operator booked a small gain on two helicopters – both less than 10 years old – but made losses on the three older assets.

Without the sales, Era’s EBITDA was $20.5 million compared to $22.4 million. This gave it a 29% margin compared to 26% in Q2 2014.

Alasdair Whyte

Alasdair launched Corporate Jet Investor and Helicopter Investor in 2010. He has more than 15 year's experience as a financial journalist and has specialised in aviation for much of this time. As well as editing the website, Alasdair helps to organise our international conferences and events. He also regularly chairs them as well as other industry gatherings.

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