About FlySBS Aviation Limited
BUSINESS OVERVIEW
FlySBS Aviation is a DGCA-approved Non-Scheduled Airline Operator, holding a valid Air Operator Permit, engaged in providing private, non-scheduled air charter services across domestic and international routes. The company specializes in offering customized air travel solutions to elite clientele including entrepreneurs, senior executives, politicians, diplomats, celebrities, and other VIPs, who seek flexible schedules, luxury, privacy, and enhanced security.
The company’s charter services cater to urgent and specialized travel needs such as medical emergencies, high-priority business meetings, promotional events, and travel to remote or non-commercial destinations. Services are operated from the base in Chennai, Tamil Nadu, with a global reach spanning six continents, including destinations in Japan, the Middle East, New Zealand, Europe, North America, and Africa.
Initially operating under a wet lease/quasi charter model, FlySBS Aviation has transitioned to a dry lease model with a 13-seater Embraer Legacy 600 aircraft now registered and operated independently. Under this model, only the aircraft is provided by the lessor, while all operational aspects are managed in-house.
Flying hours have shown strong growth, increasing from 522 hours in FY23 to 1,486 hours in FY24, and further to 2,600 hours in FY25. International operations accounted for a major share, with 1,812 hours in FY25, 1,166 hours in FY24, and 375 hours in FY23.
The company’s clientele is primarily composed of mid and large corporates, contributing 94.48% (FY25), 94.74% (FY24), and 86.98% (FY23) of revenue. High-net-worth (HNIs) and ultra-high-net-worth individuals (UHNIs) accounted for 5.52% (FY25), 5.26% (FY24), and 13.02% (FY23) of revenue, respectively.
FlySBS Aviation continues to position itself as a leading player in India's private aviation space, offering bespoke air charter services for high-value clients with complex travel demands. As on March 31, 2025, the company have 23 permanent employees and has engaged 1 person on retainership basis. The Banker to the company is ICICI Bank Limited.
INDUSTRY ANALYSIS
Indian Aviation Industry: Overview and Market Size
India’s civil aviation sector plays a vital role in economic growth by enhancing output, employment, and logistical efficiency. It has emerged as the 3rd largest domestic aviation market globally. Pre-COVID, it was also on track to rank 3rd in overall air traffic.
To support continued growth, the government has launched key initiatives such as NCAP 2016, RCS UDAN, Drone Policy, NABH Nirman, and aircraft leasing under IFSC. The classification of aircraft leases as "financial products" under the IFSCA Act, 2019, has been pivotal in developing India’s aviation financing ecosystem.
Growth is driven by rising disposable incomes, improved regional connectivity, and infrastructure investments like greenfield airports. While metro airports handle over 60% of India’s 220+ million passengers, the next wave of growth is expected from Tier 2 and Tier 3 cities.
As of FY23, the Indian aviation market is valued at $15 billion, having grown at a CAGR of 10.3% from FY19. It is projected to expand further to $22–27 billion by FY29, at a CAGR of 7–9%.
Airport Infrastructure: Current Status and Future Outlook
India has 148 operational airports, supported by private participation and government reforms. Recent developments include greenfield airport construction, privatization, new airline launches, and a formalized drone policy.
To meet future demand, the government is investing $11.8 billion (₹98,000 crore) over five years to develop and upgrade airport infrastructure—$7.5 billion from the private sector and $4.3 billion from AAI. By 2047, India aims to have over 400 operational airports, supporting its vision of a modern transport network.
Private Jet Industry: Overview and Market Size
India's private jet industry is growing rapidly, fueled by demand from HNWIs, business leaders, and those seeking flexible, secure, and time-efficient travel. Post-pandemic health concerns have further accelerated private jet usage.
The market expanded from $187 million in FY19 to $274 million in FY24, registering a CAGR of 8%. It is projected to grow at 13–15% CAGR over the next five years, driven by:
-
Wealth creation among HNWIs and UHNIs
-
Growth of startups and corporate travel
-
Economic activity in Tier 2 and 3 cities
-
Government support and innovations like jet-sharing platforms
As of FY24, India has 116 non-scheduled operators (NSOPs) offering customizable charter services. NSOPs—key players in the private jet space—enable bespoke travel with flexibility, privacy, and efficiency.
The number of NSOP permit holders has grown at 3% CAGR (FY19–FY24), reflecting rising demand and increased adoption of private aviation solutions.
Business Landscape and Future Prospects
The private jet industry is evolving with innovative access models—fractional ownership, memberships, and on-demand charters—making private aviation more inclusive. These solutions cater not just to ultra-rich individuals but also to corporates and frequent business travelers, enabling broader market penetration.
With continued infrastructure improvements, supportive regulation, and shifting travel preferences, India’s private aviation sector is poised for strong and sustained growth.
BUSINESS STRENGTHS
Experienced Promoters and Leadership
FlySBS Aviation is led by a seasoned management team with deep domain expertise. Capt. Deepak Parasuraman, a veteran in the aviation sector, has played a pivotal role in securing regulatory approvals and establishing both the company and an international cargo airline. His decades of experience ensure high standards of safety, operational efficiency, and strategic direction. Kannan Ramakrishnan brings over 20 years of leadership experience across industries such as retail and luxury automobiles. His expertise in financial structuring and market strategy has significantly contributed to growth and capital strength.
Strategic Positioning in a High Entry-Barrier Industry
The private air-chartering sector is highly regulated, requiring substantial capital, operational infrastructure, and compliance with stringent aviation norms. Barriers such as airport slot allocations, safety regulations, and licensing processes restrict new entrants. FlySBS Aviation operates with a fully compliant framework, certified personnel, and established infrastructure, enabling a strong market presence and competitive edge.
In-House Fleet and Scalable Operations
Operations are supported by a 13-seater Embraer Legacy 600 under dry lease, and additional access to high-performance aircraft such as Dassault Falcon 2000, Bombardier Challenger 605, and Bombardier Global 6000 on wet lease or quasi charter basis. These aircraft offer non-stop range of 6–16 hours, allowing for flexible, long-haul service. Agreements are in place to acquire two additional 13-seater aircraft on long-term dry lease, further enhancing fleet capacity and scalability.
Operational Efficiency and Aircraft Maintenance
As of March 31, 2025, the company employs 22 full-time personnel, including 8 flight crew, along with 2 professionals on retainership. Maintenance is managed through a contract with a DGCA-approved MRO service provider with facilities in Bangalore, ensuring reliable, efficient fleet upkeep. This arrangement minimizes downtime and maximizes operational performance, enabling delivery of tailored, high-reliability solutions for clients.
BUSINESS STRATEGIES
Fleet Expansion under Dry Lease Model
FlySBS Aviation is focused on scaling operations through dry lease aircraft acquisitions, which offer greater operational control, cost efficiency, and flexibility. Under this model, the company manages all operational expenses, including crew, maintenance, and fuel. A letter of intent and offer to lease two aircraft has been signed with international lessors, with operations commencing post regulatory approvals. Additionally, six more aircraft are planned to be acquired from the proceeds of the public issue to meet rising demand.
Tapping Growth in Private Air Charter Industry
India’s private jet market has expanded from $187 million in FY19 to $274 million in FY24, growing at a CAGR of 8%, driven by the rise in HNWIs, UHNIs, and increasing business travel from Tier 2 and Tier 3 cities. FlySBS Aviation aims to capitalize on this strong industry momentum.
Technology Integration for Seamless Client Experience
To address inefficiencies in the current charter booking process, FlySBS Aviation is integrating tech-enabled solutions, including a proposed air-time subscription model offering flexible, hour-based access. This digital approach will enhance booking convenience, transparency, and operational optimization through data-driven asset deployment.
Sales, Marketing, and Client Acquisition Strategy
The company leverages industry relationships and luxury sector expertise to target high-value clientele. A network of 12 travel agents and brokers supports client acquisition efforts. Plans are in place to expand this network and strengthen direct relationships with UHNIs, HNIs, and corporates, aligning with market demand for exclusivity and personalized service.
BUSINESS RISK FACTORS & CONCERNS
1. Dependence on Niche, High-Profile Clientele
FlySBS Aviation operates in a niche market, catering to entrepreneurs, corporate leaders, diplomats, politicians, celebrities, and other VIPs who demand customized, high-quality services. Any failure to meet their expectations in terms of flexibility, luxury, security, or travel efficiency could significantly impact business performance and reputation.
2. Volatility in Aviation Turbine Fuel (ATF) Prices
ATF cost forms a major part of operational expenses for aircraft under dry lease arrangements. Fuel expenses constituted 14.54% of dry lease revenue in FY25. Any increase in ATF prices, which are already high in India compared to global levels, may adversely affect profitability.
3. Potential Conflict with Group and Promoter Group Companies
Group Company Afcom Holding Ltd is active in air cargo services, and Promoter Group entities like Flyaeon Aviation Pvt Ltd and Flyaster Aviation Pvt Ltd have business objects aligned with FlySBS Aviation. If any of these entities begin similar operations, it may create a conflict of interest and affect the company’s market share and profitability.
4. Dependence on Limited Suppliers for Aircraft Maintenance
The company relies on a limited pool of external vendors for aircraft spare parts and consumables, without long-term contracts. Any delay or disruption in supply could have a material adverse impact on operations and service continuity.
Summary:
FlySBS Aviation faces key risks including its reliance on elite clientele, exposure to fluctuating ATF prices, potential competition from related group entities, and supplier concentration without secured contracts. These factors could impact operational stability, financial performance, and future scalability.
