In a trading update for the period to October 31 from January 1, the FTSE 250 fixed-base operator (FBO) services group said US flight activity across its network was now at 80% of prior year levels, while Business & General Aviation (B&GA) flight activity had been “relatively stable” since its last update in September.
Despite this, the company reported that continuing group revenue was down 38% in the ten months to October 31, or a 30% decline on a like-for-like basis.
Looking ahead, Signature said it expected an improved operating performance in the second half of the year compared to the first, assuming flight activity continued at the 80% level previously highlighted.
“Despite the continued challenges presented by the pandemic, I am encouraged that the recovery in flight activity across our network has stabilised at c. 80% of prior year levels, which we currently assume to continue for the balance of the year”, chief executive Mark Johnstone said in a statement.
“Our market-leading FBO business model, the quality of our network and the strength of our liquidity underpins our ability to continue to invest in and grow our business as we navigate the pandemic, allowing us to emerge in a position of strength”, he added.
Shares in the group dipped 2.2% to 266.7p in early deals on Tuesday.