#United States #financial results #Stamford #Aircastle #Aircraft Leasing

Aircastle Limited's Remarkable Financial Achievement in Q4 2024

On April 23, 2025, Aircastle Limited, a prominent player in the aircraft leasing industry, released its financial results for the fourth quarter and the full fiscal year ending February 28, 2025, demonstrating substantial growth across key metrics. The company reported a net income of $61 million for the three months ended February 28, which is a striking increase from $29 million during the same period last year. This growth trajectory is mirrored in the total revenues, which reached $206 million, contributing to an adjusted EBITDA of $222 million.

A Year of Strategic Acquisitions

During fiscal year 2024, Aircastle showed remarkable ambition by acquiring 50 aircraft for a total of $1.6 billion. Notably, 45% of the net book value (NBV) of these acquisitions was attributed to new technology aircraft, indicating the company's strong commitment to modernizing its fleet. In the same period, Aircastle completed the sale of 27 aircraft, primarily older models with an average age of 16 years, for proceeds totaling $566 million and recording a gain of $77 million on these transactions.

The appetite for new aircraft was reflected in the company’s operations, with the average age of its fleet now standing at 9.1 years. At the close of fiscal 2024, Aircastle owned 265 aircraft with a total net book value of $7.9 billion. The company has also managed 8 additional aircraft valued at $244 million through a joint venture with Mizuho Leasing, highlighting its expansive footprint in the aviation market.

Stronger Financial Position and Liquidity

In terms of liquidity, Aircastle’s position is robust as it raised $1.0 billion from new unsecured senior notes, alongside receiving $300 million from its shareholders, which was the final tranche of a $500 million commitment. The company reported total liquidity of $2.7 billion as of April 1, 2025, demonstrating a strong financial buffer that includes $2.1 billion from undrawn credit facilities and $0.5 billion from projected operational cash flows. This liquidity strengthens Aircastle's competitive edge in the market, providing flexibility for future growth opportunities.

Aircastle’s Chief Executive Officer, Mike Inglese, expressed optimism about the company’s trajectory, stating, "We successfully acquired 50 aircraft this fiscal year making it our most successful trading year since 2019. We completed fiscal 2024 with a 48% increase in net income and a 25% increase in operating cash flows."

Looking Ahead

As the company transitions into 2025, it aims to sustain the momentum with an ongoing focus on acquiring technologically advanced aircraft and building partnerships in the aviation sector. The issuance of unsecured senior notes at a spread that represents the tightest margin for any Aircastle issuance reflects investor confidence in its strategy and operational discipline.

The solid financial results coupled with a strong liquidity position point to a promising outlook for Aircastle, as it continues to expand its footprint in the global aircraft leasing market. With a fleet that remains highly utilized, the company aims to navigate the dynamic aviation landscape while generating sustainable value for its shareholders.