A new study of S&P 500 companies shows that the use of business aviation is a sign of a well-managed enterprise among America’s most highly valued and well-respected companies.
“This report reaffirms what study after study, from one decade to the next, have repeatedly found: Smart entrepreneurs and companies understand the value of business aviation in making them more efficient, productive, nimble and competitive,” said National Business Aviation Association (NBAA) President and CEO Ed Bolen. “As this report makes clear, these are America’s most innovative companies, most admired companies, best brands, best corporate citizens, and best places to work.”The study, “Business Aviation and Top Performing Companies, 2017,” is the sixth completed by NEXA Advisors. It builds on previous NEXA studies, in focusing on the ways S&P 500 companies use business aircraft to create value.
The study examines the financial performance of the S&P 500 between 2012 and 2017, and finds that, over that period, companies that use business aviation to support their missions outperformed those not using business aviation, as demonstrated by a number of key metrics, including drivers of shareholder value.
The latest NEXA study highlights three additional financial drivers positively impacted by using business aviation:
- Revenue or market share growth,
- Profit growth, and
- Asset efficiency.
Non-financial indicators positively influenced by using business aviation include customer and employee satisfaction, according to the study’s findings.
The study also indicates that companies that closed their flight departments experienced less financial success, compared to those that continued to utilize business aviation, even during economic downturns.
The study also shows that, using a “best of the best” analysis, top companies of the S&P 500 overwhelmingly use business aircraft. These include:
- 98% of the top 50 among the “World’s Most Admired Companies,” a list of the global top companies by reputation, compiled by Fortune magazine;
- 100% of the 100 companies in Forbes magazine’s listing of “100 Most-Trustworthy Companies in America”;
- 95% of the “Change the World Top 20,” as rated by Fortune magazine;
- 92% of the 100 Best Corporate Citizens, according to the CRO 2017; and
- 95% of the top 100 companies in Forbes magazine’s listing of “100 Best Places to Work.”