AVIONICS 
SAI ANAND N. (13BEC1123) 
sai.anand.n@live.com
WHAT? 
• Avionics is a sub industry within the aviation sector that primarily produces electronic 
systems and equipment used in aircraft, artificial satellites and spacecraft. 
• Avionics is nothing but a portmanteau of the words aviation and electronics. 
• Avionic systems include communications, navigation, monitoring & control, interface 
and management of multiple systems in addition to the hundreds of various others 
systems and equipment that are fitted to aircraft and spacecraft that help enable them 
to perform various individual functions.
WHY? 
• The monstrous growth in the size and number of aircrafts & spacecrafts in the modern era has 
pushed the primary operators in the aviation industry towards investing heavily in alternative 
equipment that offers modernization and automation to a great extent and thus an 
effectively easier modus operandi. 
• The ability of avionics industry to offer solutions to almost any problem in aviation, the boom in 
consumer flying and also the rising popularity of uncertified avionics equipment among 
civilian testers in addition to availability has led to great growth in this particular sector.
THE PERFECT MATCH? 
The job that I want: 
• Research & Development 
• High growth factor (no dead ends) 
• Well paying 
• To build and work with advanced 
equipment (passion) 
Avionics: 
• Scope for R&D – Very wide 
• Room for growth – Very large 
• Rate of growth – Astronomical in the past decade 
• High developmental costs & high market costs 
indicative of lucrative pay packages 
• All about developing new advanced equipment
TOP GUNS 
• Rockwell Collins, Inc. 
• Thales Group 
• Parker Hannifin Corporation 
• Garmin 
• Avidyne Corporation 
• Universal Avionics Systems Corporation 
• Honeywell Aerospace (subsidiary of the Honeywell International) 
• UTC Aerospace Systems (subsidiary of the United Technologies Corporation) 
• GE Aviation Systems (subsidiary of the General Electric group) 
• Panasonic Avionics Corporation (subsidiary of the Panasonic Corporation)
ANNUAL REVENUE (FISCAL YEAR 
2013) IN $BILLIONS 
20 
18 
16 
14 
12 
10 
8 
6 
4 
2 
0 
Thales Group Honeywell 
Aerospace 
Parker-Hannifin 
Corporation 
Rockwell Collins, 
Inc. 
Garmin
CAPITALIZATION (2013) IN 
$MILLIONS 
30000 
25000 
20000 
15000 
10000 
5000 
0 
Thales Group Honeywell 
Aerospace 
Parker-Hannifin 
Corporation 
Rockwell Collins, 
Inc. 
Garmin
NO. OF EMPLOYEES (2013) 
70000 
60000 
50000 
40000 
30000 
20000 
10000 
0
COMPARISON BETWEEN REVENUE (IN 
$MILLIONS) & NO. OF EMPLOYEES 
70000 
60000 
50000 
40000 
30000 
20000 
10000 
0 
Thales Group Honeywell 
Aerospace 
Parker-Hannifin 
Corporation 
Rockwell Collins, 
Inc. 
Garmin 
Total Revenue (2013) No. of Employees (2013)
MARKETSHARE (2013) 
Thales Group 
Honeywell Aerospace 
Parker-Hannifin 
Corporation 
Rockwell Collins, Inc. 
Garmin
OPERATING INCOME (2013) IN 
$BILLIONS 
2.5 
2 
1.5 
1 
0.5 
0 
Thales Group Honeywell 
Aerospace 
Parker-Hannifin 
Corporation 
Rockwell Collins, 
Inc. 
Garmin
CAPITAL-LABOUR RATIO (2013) IN 
$MILLIONS/EMPLOYEE – 
CAPITALIZATION:NO. OF EMPLOYEES 
1.2 
1 
0.8 
0.6 
0.4 
0.2 
0 
Thales Group Honeywell 
Aerospace 
Parker-Hannifin 
Corporation 
Rockwell Collins, 
Inc. 
Garmin
% GROWTH IN TURNOVER 
(ANNUAL REVENUE) FOR 2012-13 
5 
4 
3 
2 
1 
0 
-1 
-2 
-3 
-4 
Thales Group Honeywell 
Aerospace 
Parker-Hannifin 
Corporation 
Rockwell Collins, 
Inc. 
Garmin
MY DREAM COMPANY? 
• High Capital-Labour ratio (lesser only 
to Honeywell Aerospace) 
• Domestic presence of R&D Facility 
(unlike Honeywell Aerospace) – within 
favourable proximity 
• Not a subsidiary (unlike Honeywell 
Aerospace), dealing in avionics only – 
indicative of dedication and clear 
potential for growth despite decline in 
the recent years. 
• Better suited to my passion and aims.
Rockwell Collins (India) Enterprises Pvt. Ltd. 
Phase-II, 7th Floor, Block-3 
DLF Commercial Developer Ltd. 
Special Economic Zone 
Domestic R&D Facility: Plot No: 129 to 132 
APHB Colony, Gachibowli 
Hyderabad - 500 019 
INDIA 
040.4033.4033 
www.rockwellcollins.com
Financial data taken from http://www.4-traders.com

A Financial Analysis on the Avionics sector

  • 1.
    AVIONICS SAI ANANDN. (13BEC1123) sai.anand.n@live.com
  • 2.
    WHAT? • Avionicsis a sub industry within the aviation sector that primarily produces electronic systems and equipment used in aircraft, artificial satellites and spacecraft. • Avionics is nothing but a portmanteau of the words aviation and electronics. • Avionic systems include communications, navigation, monitoring & control, interface and management of multiple systems in addition to the hundreds of various others systems and equipment that are fitted to aircraft and spacecraft that help enable them to perform various individual functions.
  • 3.
    WHY? • Themonstrous growth in the size and number of aircrafts & spacecrafts in the modern era has pushed the primary operators in the aviation industry towards investing heavily in alternative equipment that offers modernization and automation to a great extent and thus an effectively easier modus operandi. • The ability of avionics industry to offer solutions to almost any problem in aviation, the boom in consumer flying and also the rising popularity of uncertified avionics equipment among civilian testers in addition to availability has led to great growth in this particular sector.
  • 4.
    THE PERFECT MATCH? The job that I want: • Research & Development • High growth factor (no dead ends) • Well paying • To build and work with advanced equipment (passion) Avionics: • Scope for R&D – Very wide • Room for growth – Very large • Rate of growth – Astronomical in the past decade • High developmental costs & high market costs indicative of lucrative pay packages • All about developing new advanced equipment
  • 5.
    TOP GUNS •Rockwell Collins, Inc. • Thales Group • Parker Hannifin Corporation • Garmin • Avidyne Corporation • Universal Avionics Systems Corporation • Honeywell Aerospace (subsidiary of the Honeywell International) • UTC Aerospace Systems (subsidiary of the United Technologies Corporation) • GE Aviation Systems (subsidiary of the General Electric group) • Panasonic Avionics Corporation (subsidiary of the Panasonic Corporation)
  • 6.
    ANNUAL REVENUE (FISCALYEAR 2013) IN $BILLIONS 20 18 16 14 12 10 8 6 4 2 0 Thales Group Honeywell Aerospace Parker-Hannifin Corporation Rockwell Collins, Inc. Garmin
  • 7.
    CAPITALIZATION (2013) IN $MILLIONS 30000 25000 20000 15000 10000 5000 0 Thales Group Honeywell Aerospace Parker-Hannifin Corporation Rockwell Collins, Inc. Garmin
  • 8.
    NO. OF EMPLOYEES(2013) 70000 60000 50000 40000 30000 20000 10000 0
  • 9.
    COMPARISON BETWEEN REVENUE(IN $MILLIONS) & NO. OF EMPLOYEES 70000 60000 50000 40000 30000 20000 10000 0 Thales Group Honeywell Aerospace Parker-Hannifin Corporation Rockwell Collins, Inc. Garmin Total Revenue (2013) No. of Employees (2013)
  • 10.
    MARKETSHARE (2013) ThalesGroup Honeywell Aerospace Parker-Hannifin Corporation Rockwell Collins, Inc. Garmin
  • 11.
    OPERATING INCOME (2013)IN $BILLIONS 2.5 2 1.5 1 0.5 0 Thales Group Honeywell Aerospace Parker-Hannifin Corporation Rockwell Collins, Inc. Garmin
  • 12.
    CAPITAL-LABOUR RATIO (2013)IN $MILLIONS/EMPLOYEE – CAPITALIZATION:NO. OF EMPLOYEES 1.2 1 0.8 0.6 0.4 0.2 0 Thales Group Honeywell Aerospace Parker-Hannifin Corporation Rockwell Collins, Inc. Garmin
  • 13.
    % GROWTH INTURNOVER (ANNUAL REVENUE) FOR 2012-13 5 4 3 2 1 0 -1 -2 -3 -4 Thales Group Honeywell Aerospace Parker-Hannifin Corporation Rockwell Collins, Inc. Garmin
  • 14.
    MY DREAM COMPANY? • High Capital-Labour ratio (lesser only to Honeywell Aerospace) • Domestic presence of R&D Facility (unlike Honeywell Aerospace) – within favourable proximity • Not a subsidiary (unlike Honeywell Aerospace), dealing in avionics only – indicative of dedication and clear potential for growth despite decline in the recent years. • Better suited to my passion and aims.
  • 15.
    Rockwell Collins (India)Enterprises Pvt. Ltd. Phase-II, 7th Floor, Block-3 DLF Commercial Developer Ltd. Special Economic Zone Domestic R&D Facility: Plot No: 129 to 132 APHB Colony, Gachibowli Hyderabad - 500 019 INDIA 040.4033.4033 www.rockwellcollins.com
  • 16.
    Financial data takenfrom http://www.4-traders.com