COVER STORY

Special report

Top 100 aerospace companies by revenue 2018 ($ millions)

Rank Company name Movement in Sales (revenue) Sales (revenue) Operating profit Operating profit Operating margin Operating margin
ranking from 2017 2018 2017 2018 2017 2018 2017
1 Boeing 0 $101,000 $94,000 $12,000 $10,300 11.9% 11.0%
2 Airbus 0 $75,100 $63,900 $5,950 $2,890 7.9% 4.5%
3 Lockheed Martin 0 $53,800 $50,000 $7,330 $6,740 13.6% 13.5%
4 United Technologies 0 $36,030 $30,900 $3,570 $3,490 9.9% 11.3%
5 General Electric (GE Aviation) 0 $30,600 $27,000 $6,470 $5,370 21.2% 19.9%
6 Northrop Grumman 0 $30,100 $26,000 $3,780 $3,220 12.6% 12.4%
7 Raytheon 0 $27,100 $25,300 $4,540 $4,230 16.8% 16.7%
8 Safran 0 $25,200 $17,600 $3,430 $2,280 13.6% 12.9%
9 Rolls-Royce 1 $15,000 $13,000 $443 $218 2.9% 1.7%
10 Leonardo 1 $14,400 $12,700 $588 $637 4.1% 5.0%
11 Honeywell 1 $12,900 $11,600 n/a n/a n/a n/a
12 BAE Systems -3 $12,800 $13,400 n/a n/a n/a n/a
13 L-3 Technologies 1 $10,200 $9,570 $1,110 $1,030 10.8% 10.8%
14 Textron -1 $9,620 $9,840 $1,030 $857 10.7% 8.7%
15 Rockwell Collins 5 $8,670 $6,820 $1,110 $931 12.8% 13.6%
16 General Dynamics (Aerospace) -1 $8,460 $8,130 $1,490 $1,580 17.6% 19.4%
17 Precision Castparts 0 $7,770 $7,160 n/a n/a n/a n/a
18 Rostec State Corporation $7,390 $7,660 $818 $847 11.1% 11.1%
19 Bombardier -3 $7,320 $7,650 $227 -$144 3.1% -1.9%
20 Spirit AeroSystems -2 $7,220 $6,980 $843 $532 11.7% 7.6%
21 United Aircraft -2 $7,190 $7,440 $344 $356 4.8% 4.8%
22 Thales -1 $6,820 $6,220 $683 $614 10.0% 9.9%
23 Mitsubishi -1 $6,140 $6,160 -$339 -$544 -5.5% -8.8%
24 Dassault Aviation 3 $5,990 $5,280 $789 $387 13.2% 7.3%
25 Arconic 1 $5,890 $5,440 n/a n/a n/a n/a
26 AVIC 4 $5,420 $4,770 $91.7 $259 1.7% 5.4%
27 MTU Aero Engines -2 $5,390 $4,220 $731 $565 13.6% 13.4%
28 Embraer -5 $5,070 $5,860 $35.3 $342 0.7% 5.8%
29 GKN Aerospace 0 $4,710 $4,500 $387 $219 8.2% 4.9%
30 IHI 1 $4,460 $3,980 $420 $515 9.4% 13.0%
31 Kawasaki 7 $4,290 $4,470 $294 $290 6.9% 6.5%
32 TransDigm 2 $3,810 $3,500 $1,660 $1,480 43.4% 42.2%
33 Israel Aerospace Industries 0 $3,680 $3,520 $12.0 $121.0 0.3% 3.4%
34 Triumph Group 2 $3,370 $3,200 -$275 -$466 -8.2% -14.6%
35 Harris 0 $3,330 $3,200 n/a n/a n/a n/a
36 Hindustan Aeronautics 1 $2,960 $2,860 $530 $478 17.9% 16.7%
37 Korea Aerospace Industries 10 $2,530 $1,760 $133 -$177 5.3% -10.1%
38 Meggitt 3 $2,470 $2,170 n/a n/a n/a n/a
39 CAE 4 $2,450 $2,000 $367 $336 15.0% 16.8%
40 Saab 2 $2,410 $2,210 $230 $203 9.5% 9.2%
41 Panasonic Avionics -2 $2,360 $2,330 n/a n/a n/a n/a
42 Parker Hannifin -2 $2,320 $2,290 $398 $337 17.2% 14.7%
43 ATI (Allegheny Technologies) 8 $1,970 $1,720 n/a n/a n/a n/a
44 ST Engineering 2 $1,960 $1,760 $181 $170 9.2% 9.7%
45 Hexcel 3 $1,910 $1,760 n/a n/a n/a n/a
46 Eaton 3 $1,900 $1,740 $398 $332 21.0% 19.0%
47 Aerojet Rocketdyne -3 $1,890 $1,870 $264 $178 14.0% 9.5%
48 Moog 2 $1,780 $1,650 $196 $163 11.0% 9.9%
49 Diehl Aviation 3 $1,740 $1,480 n/a n/a n/a n/a
50 Cobham -5 $1,690 $1,860 $190 $182 11.3% 9.8%

32 | Flight International | 3-9 September 2019 flightglobal.com

 top 100
Special report

Top 100 aerospace companies by revenue 2018 ($ millions)

Rank Company name Movement in Sales (revenue) Sales (revenue) Operating profit Operating profit Operating margin Operating margin
ranking from 2017 2017 2016 2017 2016 2017 2016

51 Sierra Nevada Corporation $1,690 $1,600 n/a n/a n/a n/a

52 Turkish Aerospace Industries 2 $1,670 $1,420 n/a n/a n/a n/a
53 Liebherr 0 $1,630 $1,480 n/a n/a n/a n/a
54 Heico 2 $1,560 $1,330 n/a n/a n/a n/a
55 Woodward 2 $1,560 $1,340 $301 $258 19.4% 19.2%
56 Esterline -1 $1,530 $1,400 n/a n/a n/a n/a
57 Elbit Systems 2 $1,470 $1,270 n/a n/a n/a n/a
58 Ball Aerospace 7 $1,200 $991 $113 $98 9.4% 9.9%
59 Subaru 1 $1,190 $1,230 $54.8 $105 4.6% 8.6%
60 RUAG 2 $1,160 $1,100 $59.2 $79.1 5.1% 7.2%
61 Amphenol 5 $1,150 $982 n/a n/a n/a n/a
62 Daher -1 $1,130 $953 n/a n/a n/a n/a
63 Maxar Technologies Space Systems -5 $1,130 $1,270 $5 $151 0.4% 11.9%
64 Pilatus 3 $1,120 $963 $160 $132 14.4% 13.7%
65 LISI -2 $1,100 $1,080 $114 $139 10.4% 12.8%
66 Solvay Group -2 $1,030 $947 n/a n/a n/a n/a
67 Senior 2 $1,010 $898 $107 $94.8 10.6% 10.6%
68 Teledyne Technologies 0 $994 $932 $168 $148 16.9% 15.9%
69 AIDC 1 $935 $869 $77.8 $87.4 8.3% 10.1%
70 FACC 2 $922 $810 $51.4 $65.1 5.6% 8.0%
71 Constellium 0 $911 $823 n/a n/a n/a n/a
72 Sonaca 1 $890 $619 n/a $38.6 n/a 6.2%
73 Chromalloy $850 $850 n/a n/a n/a n/a
74 Curtiss-Wright 0 $800 $787 n/a n/a n/a n/a
75 Latecoere 4 $777 $712 $5.8 $45.4 0.7% 6.4%
76 JAMCO 7 $761 $667 $39.1 $38.3 5.1% 5.7%
77 Kongsberg -1 $751 $735 $76.4 $47.4 10.2% 6.5%
78 Magellan Aerospace 0 $745 $708 $91.2 $97.7 12.2% 13.8%
79 Crane Aerospace and Electronics 1 $744 $691 $164.0 $160 22.0% 23.2%
80 Kaman Aerospace -3 $736 $725 $94.4 $118 12.8% 16.2%
81 Astronics Corporation 3 $719 $593 n/a n/a n/a n/a
82 Aernnova -7 $705 $654 n/a n/a n/a n/a
83 Recaro Aircraft Seating 5 $700 $527 n/a n/a n/a n/a
84 Kaiser Aluminum 1 $665 $588 n/a n/a n/a n/a
85 Hutchinson 1 $637 $569 n/a n/a n/a n/a
86 Garmin 4 $604 $501 $205 $154 33.9% 30.7%
87 Korean Air Aerospace Division -6 $582 $651 $12.9 -$29 2.2% -4.5%
88 Ducommun 1 $579 $502 n/a n/a n/a n/a
89 Nordam group -7 $575 $625 n/a n/a n/a n/a
90 SKF 2 $557 $483 n/a n/a n/a n/a
91 Figeac Aero 3 $505 $401 $35.8 $25.3 7.1% 6.3%
92 Barnes Aerospace -1 $501 $463 $101 $83.6 20.2% 18.1%
93 ASCO Industries 0 $428 $412 n/a n/a n/a n/a
94 ShinMaywa 2 $395 $349 $5.9 $11.7 1.5% 3.4%
95 Qinetiq $387 $340 n/a n/a n/a n/a
96 ITT Corporation -1 $378 $358 n/a n/a n/a n/a
97 Heroux-Devtek 3 $373 $286 $28.7 $17.3 7.7% 6.1%
98 Lord Corporation 0 $333 $310 n/a n/a n/a n/a
99 Linde (Praxair) -2 $307 $271 n/a n/a n/a n/a
100 Martin-Baker 1 $301 $279 $75.3 $59.7 25.0% 21.4%

flightglobal.com 3-9 September 2019 | Flight International | 33

COVER STORY
Special report

The South Korean aerospace

champion’s range of products
includes the T-50 trainer
Sales growth

Fast-climbing KAI targets spot among top five OEMs

T op placed Korea Aerospace Industries
saw its sales soar by more than 34% in
2018, largely as a result of revenues from key
Top 20 by sales growth
Rank by margin Rank by sales Company Sales growth

export deals. The South Korean champion’s 1 37 KAI 34%

portfolio includes aerostructures work for 2 72 Sonaca 32%

Airbus, Boeing and other airframers, as well 3 8 Safran 32%
as an extensive MRO offering and a series of 4 15 Rockwell Collins 27%
its own military programmes. These include 5 97 Heroux-Devtek 25.2%
the FA-50 and its T-50 trainer sibling, the KT-1 6 83 Recaro 22%
light trainer, and the Surion transport helicop- 7 81 Astronics 21.4%
ter. With several programmes coming to frui- 8 58 Ball 20.7%
tion and a strategy that foresees expansion in 9 86 Garmin 20.4%
unmanned systems and avionics, KAI is noth- 10 54 Heico 17.9%
ing but ambitious, targeting a place among 11 39 CAE 17.5%
the world’s top five aircraft manufacturers by 12 26 MTU 17.2%
2030 with projected revenues of Won20tn
13 52 Turkish Aerospace 17.1%
($16.4 billion).
14 61 Amphenol 17%
15 4 UTC 16.8%
anchored
16 55 Woodward 16%
KAI is followed by Sonaca, a business that has
expanded rapidly of late mainly as a result of 17 6 Northrop Grumman 15.7%

acquisition, “firmly anchoring” it among the 18 57 Elbit 15.6%

industry’s top 10 aerostructures suppliers, it 19 91 Figeac Aero 15.5%
says. In mid-2017 it took over similarly sized 20 88 Ducommun 15.2%
US player LMI Aerospace, whose $346 million
turnover led to the Belgian company more caused “operational problems” and “associated Silvercrest business aviation engine, and the
than doubling in size. This year, growth con- pressure on margins” (the state-owned company grounding of the Boeing 737 Max. The narrow-
tinued strongly at 32%, helped by the de- does not release profit figures). body is powered by the CFM International Leap,
mand for programmes it is a supplier to, Third place Safran has had a knockback this which Safran builds in partnership with GE
although the company admits that “concomi- year with Textron Aviation axing the Citation Aviation. However, strong demand for the Leap
tant ramp-ups of major platforms” in the USA Hemisphere, the sole application for its and CFM56, together with many of Safran’s other

34 | Flight International | 3-9 September 2019 flightglobal.com

 top 100
Special report

Commercial

Boom times for the big two, but

regional manufacturers take a hit
O ur table for commercial sales presents
a mixed picture, with half of the busi-
nesses we assessed seeing sales slump in
strongly for their re-engined narrowbody fam-
ilies. Boeing also benefited from a total of 145
787 deliveries in 2018, while Airbus was ship-
2018. With almost $61 billion in commercial ping A350s and A330ceos – if not too many
sales, Boeing tops the list, edging Airbus in A330neos or A380s.
terms of revenues, but the European com- Bombardier’s regional aircraft sales de-
pany trumps its rival for sales growth, at clined by almost a quarter as it became clear-
10.3% compared with 4.7%. er that the Canadian manufacturer planned
Meanwhile, the three biggest business avi- to exit the segment – it has since divested
ation manufacturers, Gulfstream, Bombardier both its QSeries and its CRJ ranges.
Business Aircraft and Textron Aviation (includ- Embraer’s revenues fell by almost 15% as de-
ing its military aircraft sales – Textron does not liveries of its first-generation E-Jets slumped
split out revenue for its flagship Cessna brand) ahead of the introduction of the E2 range.
also enjoyed a sales boost last year. ATR, which has come to dominate the turbo-
However, the three main regional aircraft prop sub-segment, saw its sales fall 6.4%.
players – Bombardier, Embraer and ATR – saw With their premium ranges, Gulfstream
revenue growth go into reverse, while the oth- and Bombardier Business Aircraft are now the
er two of the big five business aviation brands, third and fourth biggest revenue-earners in
Dassault and Embraer, also experienced tum- the commercial market – their sales for 2018
bling sales. stood at $8.5 billion and $5 billion respec-
With the 737 Max crisis still ahead of it, tively. Textron and Dassault both sell more in
KAI

7%
2018 was a good year for Boeing as well as dollar terms than the three main regional air-
Airbus, with revenues starting to come in craft players. ■

Top 10 by commercial revenues

Company name Commercial sales $ millions Commercial sales growth
1 Boeing 60,700 4.7%
Growth in revenue 2 Airbus 56,600 10.3%
for bottom 20 3 Bombardier (regional) 1,760 -24.2%
4 Embraer (regional) 2,360 -14.9%

9.5%
5 ATR 1,770 -6.4%
6 Gulfstream 8,460 4%
7 Bombardier (business aviation} 5,000 1.2%
8 Textron (including military) 4,970 6.1%
9 Dassault Falcon 3,060 -13.4%
10 Embraer (business aviation) 1,100 -13.8%
Growth in revenue for top 20

aerospace products, ranging from nacelles to

landing gear, gearboxes to cabin equipment,
led to an almost 32% sales growth in 2018.
Other companies that saw 20%-plus sales
growth include:
■ Rockwell Collins, in its last reporting year as
a company in its own right;
■ Canadian landing gear manufacturer
Heroux-Devtek, which on top of its mile-
stone deal to supply the Boeing 777X, also
benefited from the acquisitions of Beaver in
the USA and Spain’s CESA;
■ Recaro Aircraft Seating. The company is
Airbus/H Gousse/Master films

enjoying a spike in demand as more narrow-

bodies enter service;
■ Astronics, which supplies a range of cabin
products such as lighting and connectivity
technology. ■
A350 deliveries contributed to a healthy increase in commercial revenues for Airbus

flightglobal.com 3-9 September 2019 | Flight International | 35

COVER STORY
Special report

Operating margin

TransDigm keeps profiting from acquisitive strategy

A s was the case last year and in our 2017
listing, aerospace and defence holding
company TransDigm and avionics firm Garmin
Top 20 by operating margin
Rank by margin Rank by sales Company Operating margin
1 32 TransDigm 43.4%
head our ranking of top 20 operating margins, 2 86 Garmin 33.9%
with returns of 43.4% and 33.9%, respectively. 3 100 Martin-Baker 25%
Cleveland, Ohio-headquartered TransDigm 4 79 Crane 22%
is one of the most acquisitive firms in the busi- 5 5 GE Aviation 21.2%
ness, and by some degree remains the most 6 46 Eaton 21%
profitable among those for whom we are able 7 92 Barnes 20.2%
to make a calculation of operating margins. 8 55 Woodward 19.4%
Established in 1993 as TD Holding and incor- 9 36 Hindustan Aeronautics 17.9%
porated on the New York Stock Exchange in 10 16 General Dynamics 17.6%
2006, TransDigm has become a grouping of 11 42 Parker 17.2%
about 35 subsidiaries, all of them trading un- 12 68 Teledyne 16.9%
der their original brand and overseen with a 13 7 Raytheon 16.8%
light touch by a head office that behaves al- 14 39 CAE 15%
most like a private equity owner. It supplies 15 64 Pilatus 14.4%
products from acutators and controls to 16 47 Aerojet Rocketdyne 14%
pumps, batteries, cockpit displays, seatbelts 17 3 Lockheed Martin 13.6%
and cargo loading systems. 18 8 Safran 13.6%
Its latest big acquisition, earlier this year, 19 26 MTU 13.6%
was Esterline (still listed separately for the pur- 20 24 Dassault 13.2%

11.3% 12.8%
poses of our Top 100 ranking), a company
that specialises in advanced materials, avion-
ics, and sensors and systems. Additions to its
portfolio in 2018 included Extant and Skandia.
Earlier this year, TransDigm stood accused
of making excess profits on a number of US
Department of Defense contracts, because Average Top 100 Increase in top 10 operating
several of its subsidiaries were sole-source operating margin profits to a total of $48.1 billion
suppliers of a particular component on certain
programmes.
Aviation makes up 18% of Garmin’s rev-
enues – the company is also a major player in
the fitness, outdoor and automotive markets
– but 26% of its operating income. The com-
pany says that 2018 was “another remarkable
year of revenue and operating income growth
driven by strong performance” in the aviation
and other segments.
Family-owned Martin-Baker, making a return
to the Top 100, is in third place, and has previ-
ously featured among the most profitable com-
panies. Its ejection seats may have competitors,
but the strength of the UK manufacturer’s brand
and reputation mean they are a specialised
product that commands a premium.
Fourth placed Crane Aerospace is another
grouping of legacy brands, including Eldec,
Lear Romec, Signal Technology, Keltec, and
Interpoint, that compete in the sensing,
power, fuel and braking systems markets.
Part of the industrial group Crane, the aero-
space business recorded operating margins
of 22% in 2018. ■
Gary Dawson/Shutterstock

Up and away: ejection seat specialist

Martin-Baker recorded margins of 25%

36 | Flight International | 3-9 September 2019 flightglobal.com

 Top 100
Special report

Defence

Military suppliers make significant advances in 2018

I t has been a good year for the world’s
biggest aerospace defence contractors,
with nine of the top 10 recording sales
Top 10 by defence aerospace sales
Company name Defence sales $ millions Defence sales growth

growth for their defence activities and three 1 Lockheed Martin 53,800 7.6%

increasing their revenues by more than 2 Northrop Grumman 30,100 15.7%

15%. United Technologies saw its defence 3 Raytheon 27,100 6.7%
sales rise by more than a quarter in 2018 – 4 Boeing 23,200 12.8%
with the completion of the acquisition of 5 Airbus 11,100 4.4%
Rockwell Collins late in the year making 6 BAE Systems 8,710 -9.3%
­little impact. 7 Leonardo 8,320 4.3%
Total sales of the 10 largest defence busi- 8 L3 8,250 6.5%
nesses was just under $187 billion in 2018, 9 UTC 5,000 25.8%
up $15.4 billion on the previous survey.
10 Honeywell 4,670 15.1%

split revenues
For the purposes of this sub-ranking we Northrop had the strongest bounce in 2018. 4.4% uplift, despite problems with the
have split – as far as is possible – sales from Boeing, number one in the main ranking, A400M programme.
the defence sector from revenues derived comes in at three with defence revenues of The two other European companies in the
from commercial and other markets. $23 billion – just under a quarter of its entire top 10 – BAE Systems and Leonardo – had
Lockheed Martin, a company almost en- business – followed by commercial aircraft less than impressive years. The Italian com-
tirely devoted to defence, continues to top rival Airbus, which is less of a direct competi- pany did manage a 4.3% uplift in revenues
the list with defence sales of $53.8 billion, tor in Boeing’s key defence markets. Boeing, – the second lowest in the top 10 – but its UK
followed by Northrop Grumman and largely dependent on a resurgent domestic counterpart suffered a 9.3% drop in defence
Raytheon – two other suppliers with essen- customer base, enjoyed a 12.8% rise in de- sales, alongside an even larger, 11.3% de-
tially defence-only portfolios. Of the two, fence revenues, while Airbus’s sales had a cline, in its overall turnover. ■

Lockheed Martin, behind

Crown Copyright

the F-35 and a host of other

defence products, led the field

flightglobal.com 3-9 September 2019 | Flight International | 39

COVER STORY
Special report

Top 100 by company name

Company Ranking Company Ranking Company Ranking

Aernnova 82 GKN Aerospace 29 Northrop Grumman 6

Aerojet Rocketdyne 47 Harris 35 Panasonic Avionics 41

AIDC 69 Heico 54 Parker Hannifin 42

Airbus 2 Heroux-Devtek 97 Pilatus 64

Amphenol 61 Hexcel 45 Precision Castparts 17

Arconic 25 Hindustan Aeronautics 36 Qinetiq 95

ASCO Industries 93 Honeywell 11 Raytheon 7

Astronics Corporation 81 Hutchinson 85 Recaro Aircraft Seating 83

ATI (Allegheny Technologies) 43 IHI 30 Rockwell Collins 15

AVIC 26 Israel Aerospace Industries 33 Rolls-Royce 9

BAE Systems 12 ITT Corporation 96 Rostec State Corporation 18

Ball Aerospace 58 JAMCO 76 RUAG 60

Barnes Aerospace 92 Kaiser Aluminum 84 Saab 40

Boeing 1 Kaman Aerospace 80 Safran 8

Bombardier 19 Kawasaki 31 Senior 67

CAE 39 Kongsberg 77 ShinMaywa 94

Chromalloy 73 Korea Aerospace Industries 37 Sierra Nevada Corporation 51

Cobham 50 Korean Air Aerospace Division 87 SKF 90

Constellium 71 L-3 Technologies 13 Solvay Group 66

Crane Aerospace and Electronics 79 Latecoere 75 Sonaca 72

Curtiss-Wright 74 Leonardo 10 Spirit AeroSystems 20

Daher 62 Liebherr 53 ST Engineering 44

Dassault Aviation 24 Linde (Praxair) 99 Subaru 59

Diehl Aviation 49 LISI 65 Teledyne Technologies 68

Ducommun 88 Lockheed Martin 3 Textron 14

Eaton 46 Lord Corporation 98 Thales 22

Elbit Systems 57 Magellan Aerospace 78 TransDigm 32

Embraer 28 Martin-Baker 100 Triumph Group 34

Esterline 56 Maxar Technologies Space Systems 63 Turkish Aerospace Industries 52

FACC 70 Meggitt 38 United Aircraft 21

Figeac Aero 91 Mitsubishi 23 United Technologies 4

Garmin 86 Moog 48 Woodward 55

General Dynamics (Aerospace) 16 MTU Aero Engines 27

General Electric (GE Aviation) 5 Nordam group 89

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40 | Flight International | 3-9 September 2019 flightglobal.com
 Top 100
Special report

Boeing is taking a majority

stake in Embraer’s civil
aircraft business

Embraer
Data source

■ METHODOLOGY leasing. Joint ventures have been i­mportant companies, and we the figures for AVIC Aircraft and
Companies have been ranked included in the financial data. have used our industry knowl- Jiangxi Hongdu Aviation
for their financial year 2018 or Inter-segment sales have edge and best estimates to ar- Industry, rather than AVIC
2018-19. As far as possible, been excluded from operating rive at estimated sales figures. International. We believe that
we have sought to obtain rep- results and profits for divisions ■ Chromalloy is part of Sequa this combination gives a better
resentative figures for aero- where possible. Where that is Corporation, which is owned representation of AVIC’s aero-
space turnover. Companies not possible, divisional results by Carlyle. space sales.
involved predominantly in avi- have been presented inclusive ■ Hutchinson is a subsidiary of
ation services, maintenance, of divisional sales, which may French oil company Total. In ■ OPERATING RESULTS
repair and overhaul and fi- result in aerospace revenues the aerospace sector, it is a sig- Generally the profit (or loss) is
nance been excluded. greater than group sales. nificant supplier of equipment before interest, tax and excep-
Sectors involved with aircraft, When looking at all compa- across airframes, engines and tional items, and after deduc-
aero engines, avionics, missiles, nies, we have revisited our as- cabin systems. tion of depreciation.
space and aerostructures are sumptions on what should be ■ Nordam, a private US com- Discontinued or discontinuing
relatively straightforward, but included as aerospace sales, pany, is a major supplier of na- operations have been included
telecommunications, network- and in some cases we have celles, transparencies and where they fall in fiscal year
centric and C4I systems and changed our assumptions. business jet interiors. 2018 for that business.
some overhaul operations have Where we have done this, we ■ Precision Castparts, a US
been included only where these have used the same assump- company that is owned by ■ EXCHANGE RATES
are largely concerned with aer- tions for 2017 and 2018. Berkshire Hathaway. An average exchange rate for
ospace activities. Where a busi- In some companies that re- ■ Sierra Nevada, a private US the period 1 January to 31
ness’s divisional structure port the proportion of their corporation that has a range of December 2018 as been used
clearly separates its aerospace sales which are aerospace, the businesses in space systems, for all non-US companies, re-
activities, we have taken that aerospace sales are spread avionics and cybersecurity. gardless of fiscal year defini-
figure. In other instances, we across business units, which do Two Russian companies, tions. The source for the
have excluded elements of the business across a number of United Aircraft and Rostec, had exchange rate information was
business that are not involved in sectors, of which aerospace is not released their 2018 results the US Internal Revenue
aerospace, but in some cases, just one. In such cases, it is not at time of going to press so we Service. The percentage an-
where the company’s revenues possible to give a profit figure have assumed the same results nual changes in the financial
primarily derive from aerospace which corresponds to aero- in 2017 in the local currency. figures have been given in lo-
manufacturing, we have includ- space sales. However, due to currency cal currency terms in order to
ed the top-line revenue total. Five companies in this year’s movement these companies avoid unnecessary distortions.
Satellite services have been survey do not produce any esti- are showing sales increases in To eliminate exchange rates
excluded whenever possible, as mates for aerospace sales, dollar terms. effects, we have calculated
have companies and divisions which are in the public domain. The numbers for AVIC are percentage increase in reve-
that derive more than half their We have included them be- different from last year’s. This nues and profits for companies
revenues from services such as cause they are sizeable and year we have used the sum of in local currencies.

flightglobal.com 3-9 September 2019 | Flight International | 41