Deliveries up at Dassault Falcon, Private Jet Valuation:Engines – Apr 29th

Dassault delivered nine Falcons in the first quarter, one more than it did in the same period a year ago, the company announced. Still, revenues at Dassault Falcon fell year-over-year by €14 million ($19.35 million), to €397 million ($548.6 million), which equates to 68 percent of net revenues at parent Dassault Aviation. During the quarter, Dassault booked orders for 12 Falcons, compared with 14 Falcons in the year-ago period. It logged €537 million ($742.1 million) in sales during the first quarter, versus €656 million ($906.6 million) in the same time frame last year.

When valuing a private jet there are many variables that affect the value, such as the aircraft type, year model, modifications, airframe hours and landings. A major variable is the condition of the engines and enrollment in an engine maintenance program (EMP).

Most engines are required to be overhauled at a specific time, which is set by the manufacturer based on hours flown. Most engine overhauls are mandated between 3,500 and 7,000 hours flown from the time of delivery. Select engine types have an additional limitation based on the calendar, which means that if the engine is not flown to its maximum authorized hourly limit within a set period of time (for example 10 years or 120 months), the engine must still be overhauled or undergo a mid-life inspection (effectively an overhaul).