Pre-Owned Light Jet Market Review

The Light Jet category typically comprises aircraft with cabins that incorporate a lavatory and a compact beverage/snack station. Moreover, aircraft within the Light Jet category tend to offer a maximum payload of up to 2,600lbs, and have a range up to 2,165nm. 

In a previous review of the Entry Level Jet market, we incorporated business jets with an MTOW up to 12,000lbs (see AvBuyer August issue, p26). Here, we incorporate aircraft weighing between 12,000lbs and 20,000lbs MTOW, with the exception of Cessna’s Citation XLS Gen2, which comes in at slightly above (20,330lbs).

The focus of this study is to provide an overview, and there are several older out-of-production Light Jets (or those produced in smaller quantities) that are available on the pre-owned market but are beyond the scope of this study. Nevertheless, it’s hoped that the content of this analysis will provide a useful basis for benchmarking these.

Pre-Owned Light Jet Inventory Levels & Asking Prices

Cessna Citation CJ1/CJ1+: The Citation CJ1+ has been out of production since 2011, but the active Citation CJ1 and CJ1+ fleet consisted of 292 units as of the end of H1 2024 (per AMSTAT). The percentage available for sale or lease stood at 8.2%, while asking prices ranged between $1.6m and $2.9m.

Cessna Citation CJ2/CJ2+: The Citation CJ2+ was produced until 2015 with the active fleet consisting of 454 units at the end of H1 2024. A total of 9.7% of the fleet was available for sale or lease, with prices ranging from $2.7m up to $4.6m (AMSTAT data).

Cessna Citation CJ3+/CJ4/CJ4 Gen2/XLS+/XLS Gen2: The Citation CJ3+, Citation CJ4 Gen2 and Citation XLS Gen2 all remain in production today. Including their predecessors – the CJ3, CJ4 and XLS/XLS+ – at the end of H1 2024, the active fleet consisted of a combined 1,671 aircraft, with the percentage available for sale or lease standing at 4.5% for the fleet.

Prices on the pre-owned market for these models ranged between $4m and $14m, depending on aircraft vintage, hours flown, maintenance/upgrade requirements, and previous types of operation (Part 91, Part 91k, Part 135 or medevac).

Embraer Phenom 300/300E: For many years Embraer’s Phenom 300 series has been a best-seller on the new aircraft market. At the end of H1 2024, there was an impressive 774 aircraft in operation, per AMSTAT, with only 3.7% of the fleet available for sale or lease. Prices ranged between $6.0m to $13.2m.

Hawker 400 Family: While Hawker hasn’t built 400- series jets since 2010, the Hawker 400 family contributed 248 units to the worldwide fleet of business jets, per AMSTAT, so we include the model in this review. With 9.7% of the Hawker 400 fleet available for sale or lease at the end of H1 2024, pre-owned prices ranged between $695k and $3.0m.

Pilatus PC-24: The newest model in the Light Jet fleet is Pilatus’ first business jet, the PC-24. The PC-24 has struck a rich vein in the market, and at the time of writing there were 222 aircraft in operation worldwide, despite production having only started in 2018. Just 6.8% of the fleet was available for sale or lease, according to AMSTAT, with prices ranging between $10.0m and $12.0m for a pre-owned model.

Pre-Owned Light Jet Market Share, by OEM

Chart A (left) shows market share for the four main Light Jet manufacturers between 2019 and 2023, per AMSTAT. While Cessna remains the market leader with the largest Light Jet market share, it has seen that market share slip from 72.5% in 2019 to 66.5% in 2023.

Both Embraer and Pilatus have enjoyed market gains with the Phenom 300/E series claiming a 20.5% market share in 2023 (up from 17.1% in 2019) and the PC-24 gaining a 4.6% greater share over the five-year period.

Chart B (left) meanwhile, depicts the percentage of pre-owned units for sale/lease for each OEM over the same timeframe. 

The Phenom 300/300E fleet for sale increased x7.3 to 29 units when benchmarked against 2021. 

And as the model builds up a history on the pre-owned market, the Pilatus PC-24 fleet for sale unsurprisingly also grew x5 to 15 units benchmarked against 2021.

Taken as a whole, the Light Jet fleet for sale or lease has increased x3.8 to 196 jets when compared to 2021, but this is still at fewer than in 2019 (pre- Covid) where a total of 226 units were available on the pre-owned market.

Light Jet OEM Shipments

According to the General Aviation Manufacturers Association (GAMA), new aircraft shipments in the Light Jet segment averaged 174 units annually between 2019 and 2023. 

Encouragingly, the three OEMs enjoyed a collective positive Compound Annual Growth Rate (CAGR) of 0.5% during the period.

As Chart C (left) reveals, over the same timeframe, Cessna maintained an average of 43.3% market share for Light Jet deliveries, while Embraer and Pilatus held an average 32.1% and 24.5% of the market, respectively.

While it’s the current leader, Cessna’s market share reduced over the five year period by 8.8%, while Embraer’s (5.6%) and Pilatus’ (3.1%) market shares increased.

Select Light Jet Key Technical Specifications

Following, we will focus on the top-of-the-line products of the leading Light Jet OEMs. Chart D (below) shows the Pilatus PC-24, which offers the largest cabin volume, also has the second lowest range among segment peers.

CHART D: Light Jets Cabin Volume vs Range Comparison

Conversely, the Cessna Citation CJ4 Gen2 offers the highest range but offers the second lowest cabin volume when benchmarked against the competition. Having said that, the difference between the highest and lowest range jet in this study is just 125nm.

Select Light Jet Balanced Field Length vs. Range Comparison

Of course, part of the appeal of light jets is their ability to operate into and out of shorter runways, and the Pilatus PC-24 is unique in that it is certified to utilize unimproved, unpaved runways. In fact, Pilatus markets its jet as a versatile option for private, commercial and special mission buyers.

Nevertheless, other manufacturers in the Light Jet segment may offer gravel kits or special training for unpaved operations.

In a Balanced Field Length (BFL) versus Range comparison, Chart E shows the Pilatus PC-24 offers an unparallel low BFL among its peers while its range is somewhat lower than some of the others in the field.

CHART E: Light Jets BFL vs Range Comparison

Light Jet Market Summary

Similar to our review of the Entry Level Jet market, we can see that Cessna has seen some market share erosion between 2019 and 2023. The OEM’s 8.8% new aircraft shipments share erosion correlates exactly with its pre-owned market share drop.

As highlighted, Embraer and Pilatus have prospered during the timeframe both in the new and pre-owned Light Jet markets.

Moreover, in the new aircraft market, the positive 0.5% CAGR looks a little different depending on which OEM it’s applied to. For example, Cessna has a negative Compound Annual Growth Rate (CAGR) of -3.3%, while Embraer and Pilatus have positive CAGRs of 4.3% and 3.3%, respectively.

We can see that the Phenom 300 (popular with fractional ownership operators) and Pilatus’ PC-24 have had their impact on the market since they were introduced. How will Cessna respond?

The CJ3+/CJ4 Gen2 and Citation XLS Gen2 models are all adaptations of older models that have been around in one form or another for 30+ years. The Citation Ascend is due to come to market shortly, but will it be revolutionary enough to claim back some market share? Time will tell.

What is undoubted, though, is that Cessna has been a legendary name over several decades, proving popular with thousands of aircraft owners and operators around the world. Every bit as important to owners of pre-owned aircraft is the support network offered by the OEMs and third-party MRO shops.

Cessna owners are extensively covered, Embraer has been developing its own global network over several years, but as the relative newcomer to the Light Jet market, keep an eye on how Pilatus seeks to build its own support network as the worldwide fleet continues to grow.

READ MORE RELATED ARTICLES
Pre-Owned Entry Level Jet Market Review
Pre-Owned Twin-Engine Turboprop Market: What’s the Latest?
What’s Next for the New Business Jet Markets?