About Fly SBS Unlisted Share

Report on FlySBS Aviation: Pioneering Private Jet Leasing in India

1. Introduction

FlySBS Aviation was established to bridge a significant market gap in private jet leasing in India. By focusing on cost-effective leasing solutions and innovative programs, FlySBS is making private aviation more accessible and affordable for a diverse clientele.

2. Founding Team and Expertise

FlySBS Aviation benefits from the extensive expertise of its founding members:

1. Kannan Ramakrishnan: Founder Director & Accountable Manager with over 30 years of industry experience.
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3. Deepak Parasuraman: Founder Director with 24+ years of experience and the founder of AFCOM Airlines.
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5. Amba Shankar: Founder Director & CEO with 30+ years of aviation experience.

Their collective expertise ensures robust operational and strategic direction for the company.

3. Fleet Details and Leasing Model

FlySBS operates a dry lease model, leasing aircraft rather than purchasing them outright. This ensures financial flexibility and operational scalability.

Fleet Composition:

1. Mid-Size Jets: Bombardier Challenger 605 (8-9 seats, 6,205 km range).
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3. Small-Size Jets: Bombardier Learjet 45 (6-7 seats, 3,723 km range).
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5. Large-Size Jet: Embraer Legacy 600 (13 seats). First dry lease aircraft commenced operations in December 2023.

4. Business Model

FlySBS Aviation's innovative business model focuses on democratizing luxury by providing affordable private aviation solutions. Key offerings include:

1. Long-Term Chartering: Exclusive options for extended use.
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3. Subscription-Based Models: Programs like the "Je'time" Program offer tiered flight hour packages.
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5. Membership Programs: Tailored for frequent fliers.
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7. Flexjet Program: Designed for clients with moderate flying hours.
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9. Single-Time Charters: Pay-per-use flexibility.
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11. Air-Time Share: Shared ownership concepts for private jet access.

The company also targets business travelers with small jets and HNI/UHNW individuals for luxury mid-size jets.

5. Revenue Streams

FlySBS Aviation has diversified revenue streams:

1. Charter Services: On-demand, pay-per-use.
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3. Subscription Models: "Je'time" program based on flight hours.
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5. Leasing Plans: Unique dry lease arrangements.
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7. Air-Time Share: Innovative shared ownership model.

6. Industry Analysis

The Indian private aviation industry is on a growth trajectory, presenting FlySBS with immense opportunities:

1. Market Growth: 11% CAGR; India poised to become the 3rd largest aviation market by 2025.
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3. Market Size: MRO market projected to reach $4.33 billion, with a $19.5 billion opportunity overall.
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5. Key Drivers:
6. Post-COVID demand surge for private charters.
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8. Rising discretionary spending.
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10. India's $5 trillion economy vision.
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12. Changing consumer perceptions about private aviation.

Challenges:

1. High repositioning costs and non-transparent billing.
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3. Limited availability of aircraft for charters.

7. Financial Performance

FlySBS Aviation has demonstrated remarkable growth:

Revenue Growth:

1. FY21: ₹16.00 Cr
2. FY22: ₹27.62 Cr
3. FY23: ₹33.67 Cr
4. FY24 (Estimated): ₹109.16 Cr
5. FY27 (Projected): ₹658.70 Cr

Turnover Growth:

1. FY21: ₹0.93 Cr
2. FY22: ₹3.17 Cr
3. FY23: ₹10.28 Cr
4. FY24 (Estimated): ₹31.46 Cr
5. FY27 (Projected): ₹73.08 Cr
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8. Future Plans

FlySBS Aviation has a clear roadmap for growth:

1. Fleet Expansion:
2. Induction of 5 additional private jets by FY25 under the dry lease model.
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4. Finalizing 2 small cabin jets.
5. Innovative Programs:
6. Launch of "Je'time Program" in FY25.
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8. GPS-based "Je'tree" Application to enhance private jet availability and reduce costs.
9. Market Penetration:
10. Targeting key cities like Delhi, Mumbai, Ahmedabad, Bengaluru, Chennai, and Hyderabad.
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12. Building an HNI network in these regions.
13. International Strategy:
14. Setting up a Delaware company for aircraft ownership and leasing through Ireland.
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16. Exploring IPO listing on the BSE SME Market.
17. Technology Adoption:
18. Development and launch of the SBS Aviation Application to streamline operations and enhance user experience.

9. Strategic Position

With a focus on affordable private aviation, FlySBS is strategically positioned to capitalize on the growing demand for private charters in India. Their innovative leasing and subscription models, coupled with their commitment to transparency and technology, provide a significant competitive edge.

10. Conclusion

FlySBS Aviation is poised to transform the Indian private aviation sector with its innovative approach and ambitious growth plans. By combining affordability with luxury, the company is set to democratize private aviation and establish itself as a leader in the industry.