Story ID: 304
FlyingGroup Focusing on Management Services
By: Peter Shaw-Smith
Caption: FlyingGroup's management business is stronger than its charter activity, but that should change soon. 
Word Count: 553
FlyingGroup, an aircraft management and charter provider headquartered jointly in Belgium and Luxembourg, operates a fleet of 32 business jets. It has seen aircraft management activity trump charter operations in 2019. “We noticed a slower start in 2019 compared to 2018 in charter production, but see quite some activity in aircraft management,” COO, Jurgen van Campenhout, told AIN. “Charter should pick up for the summer season.”

Combined, the group operates 32 aircraft; FlyingGroup has 21 and Malta-based unit Hyperion operates 11. Together, the two logged 10,500 flying hours in 2018. The fleet includes 10 Dassault Falcons, five Cessnas, four Bombardiers, and three Gulfstreams. The group opened an office in Dubai, FlyingGroup Middle East, in 2017.

“We do have a variety of aircraft from different OEMs,” he said. “No specific preferential original equipment manufacturer [OEM] or aircraft type is being looked at. It is, however, a fact that we gained tremendous experience in some specific aircraft types, and that is probably why we have more of these in our fleet. But historically, we could say that we have had almost every type [or derivate].”

FlyingGroup (Booth U89) offers a variety of services, aircraft management being the main focus, with or without charter services. The company holds three air operator certificates (AOCs), in Belgium, Luxembourg, and Malta. “All three companies or AOCs fall under the same jurisdiction, [FlyingGroup Holding], but it is true that Hyperion in Malta is managed more independently then Belgium and Luxembourg,” he said.

“Aircraft management involves a choice between registration on the AOCs, including full tailor-made services with asset management and CAMO [continuing airworthiness management organization]. Most of the projects or aircraft management customers we have require aircraft management combined with charter. When no charter is expected or required, aircraft owners could opt for NCC.”

NCC, or “non-commercial operations with complex motor-powered aircraft,” is a new EASA category. “We feel this is an underestimated subject in Europe,” van Campenhout said. “In our view, it is crucial that complex aircraft are looked after and managed in the safest way possible. Therefore, NCC is a good evolution.”

Private aircraft management is done through the Luxembourg operation. Fractional shares are available on a Citation CJ3+, while the company also offers an hourly package, including a jet card program. FlyingGroup also owns an EASA and FAA Part 145 repair station, which offers MRO on a variety of aircraft types. 

FlyingGroup’s charter model sets it apart from other companies. “Our charter model is quite unique as it is based on contribution sharing. We deduct the direct operating cost from the charter price, resulting in a contribution, which is split on an agreed percentage with the owner,” he said.

“The biggest benefit for the owner is that we share the risks and the benefits on the margin, where most of the operators have a fixed percentage on the revenue or a fixed amount per hour. We share the operational and technical risks with the owner on a contractual pre-defined charter revenue model, which is based on the margin [contribution] split of a charter mission.”

The company also offers FBO services at Antwerp and its own hangars at Antwerp, Le Bourget, Brussels, Luxembourg, and Flanders. FlyingGroup bases aircraft throughout Western and Eastern Europe, as well as Russia and Kazakhstan.