Aero Vodochody will double its revenues this year

press release

Revenues of the biggest Czech aircraft manufacturer, AERO Vodochody AEROSPACE, will almost double up to 5-6 bn CZK (200-240 mEUR) this year in comparison to 2019. Such growth of Aero's revenues will be strongly driven by new MRO businesses, ramp up on the A220 programme and start of industrialization of L-39NG new jet trainer and light attack aircraft.

During the last year, Aero signed several contracts with current L-39 Albatros operators for general overhauls and modernizations, the majority with the support of its strategic partner OMNIPOL. Currently, Aero has an unique order backlog on MRO of 35 aircraft from our customers in Middle Asia and Africa on L-39s, and from Czech Air Force on L-159s. "Based on signed contracts, our MRO and upgrade business will double this year and will generate more than 2 bn CZK revenues (80 mEUR). In our aerostructures business, we are ramping up too, mainly driven by a 50% increase of production of fixed leading edge for Airbus A220 to 73 aircraft shipsets. Our budget 2020, agreed with our shareholder, plans Aero returning to black numbers this year," said Dieter John, President and CEO of the company.

AERO Vodochody successfully continues in its main investment project, the new jet trainer and light attack aircraft L-39NG. "Our ground and flight test program runs full speed and the full trainer certification is targeted for the third quarter of 2020. The L-39NG industrialization concept is prepared, we will launch serial production this year and proceed in our sales campaigns which will also contribute to revenues growth," added Dieter John.

Early 2019, Aero has launched its mid-term transformation project Aero Fit For Future (A3F) which does optimize Aero´s operations and supply chain, increase the company´s efficiency and prepares it for strong growth. Part of it has been the streamlining of the workforce and the right sizing of the cost base. Aero released about 250 employees across all functions in 2019, which finished in May last year. Aero is now recruiting new employees for some specific key aviation profession. In last three months, the company recruited 30 new employees and currently it has more than 50 open positions.

AERO Vodochody AEROSPACE

AERO Vodochody AEROSPACE a.s. focuses on the design, manufacturing, maintenance, overhaul and upgrade of military and civil aircraft and is the largest aviation manufacturer in the Czech Republic and one of the oldest aerospace companies worldwide. In the field of military aircraft, Aero has been a reliable long-term partner to many of the world's air forces and it has a strong position on the market of military training and light combat aircraft.

With a track record of 11.000 aircraft produced over the last 100 years, a broad coverage of 60 military operators and 15 demo teams, a huge existing fleet of L-39 Albatrosses and with a brand new aircraft, the L-39NG now, Aero is maintaining its positioning as a leader in the jet training market. In the field of civil aviation, Aero collaborates with the world's largest manufacturers in a diverse range of projects and is a full partner in several risk-sharing programmes, taking responsibility not only for the production and assembly of structures but also for its design and development.