An Airbus company
Skytra, a wholly owned subsidiary of Airbus, was established in London, in May 2019 to create the financial infrastructure necessary for the air travel industry to help risk manage its revenue volatility.
The air travel industry generates $1 trillion pa in revenue but almost 90% of this revenue is booked less than 90 days before travel*. The industry’s fixed costs combined with unpredictable revenues creates a cash flow and profit margin challenge. Whilst many airlines are sophisticated hedgers of jet fuel, interest rates and FX the financial instruments needed to help manage their revenue risk have not been available.
Until now...
We have worked in collaboration with the aviation industry for the past two years, and crunched over 2 peta bytes of air travel ticket data, to create Skytra Price Indices. These indices represent the ticket price revenue generated across major geographical markets worldwide.
A new market
Financial futures and options contracts based on these indices will be tradable on the Skytra MTF. These financial products will enable the industry for the first time to transfer revenue related risks with the possibility of increasing price certainty, reducing margin volatility and helping to support the whole air travel value chain.
Created with the Industry, for the Industry
We understand the air travel industry and its challenges and have developed our products and services to be directly aligned with the industry’s needs.
We have sourced data covering 80% of worldwide tickets flown by value and have developed our indices in collaboration with the air travel industry over a period of two years.
*Sources: IATA, ACI, Skytra proprietary analysis.