Airport Operations Industry Overview

Excerpt from Airport Operations Report

Companies in this industry operate airports for commercial and general aviation and provide support services such as air traffic control, aircraft fueling and maintenance, baggage and cargo handling, and rental of hangar space. Major companies include Aeroports de Paris (France), BAA Aviation (UK), Fraport (Germany), Macquarie Infrastructure Company (US), Singapore Technologies Aerospace, and Swissport (Switzerland).

Competitive Landscape

Demand for airport operations and aviation services is driven by business and leisure air travel and the size and age of aircraft fleets. The profitability of individual companies depends on efficient operations. Large companies enjoy economies of scale in purchasing. Small companies can compete effectively in hometown markets. The US industry is concentrated: the 50 largest companies account for more than half of industry revenue.

Products, Operations & Technology

Major services include aircraft maintenance and repair (65 percent of US industry revenue), fixed-base operator services (20 percent), and ground handling (10 percent). Other services include airport administration and operation and wholesale fuel sales.