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By Bjorn Fehrm

May 25, 2023, © Leeham News: In our series about the viability of the business plans for small airliners (nine to 50 seats), we have covered the cost factors that make up the Cash Operating Cost, COC (Fuel, Maintenance, Airway/Airport fees, Crew costs).

We now compile the Cash Operating Cost for the aircraft on a typical sector and discuss the result.

Figure 1. The D238eco 40-seat airliner. Source: Deutsche Aircraft.

Summary:

• The Cash Operating Costs do not reduce in proportion to passenger numbers for a smaller airliner.
• As a consequence, a small airliner needs a higher load factor or yield to be viable.