Air Lease reported that Q2/20 revenues of $521 million increased 10.6% and that it sold four aircraft during the quarter resulting in approximately $87 million in sales proceeds.
Second Quarter 2020 Results
Diluted earnings per share
Adjusted diluted earnings per share before income taxes
Return on common equity
“Our second quarter results, including revenue, EPS, collection rate and aircraft utilization, were healthy in the face of an extremely tough environment for global airlines due to the COVID-19 pandemic,” John L. Plueger, CEO and president of Air Lease, said. “Financial stress is driving airlines to leasing and right-sizing their fleets by eliminating older, less efficient aircraft and accelerating environmental sustainability goals with young, technologically advanced aircraft, which is the profile of ALC’s orderbook, fleet and business model.”
Second Quarter 2020 Highlights
Impact of COVID-19
The global pandemic resulting from the coronavirus disrupted some of Air Lease’s operations and the operations of lessees, aircraft manufacturers and suppliers. The COVID-19 pandemic has resulted in governmental authorities around the world implementing numerous measures to try to contain the virus. Although some of these measures have since been lifted or scaled back, a recent resurgence of COVID-19 in certain parts of the world, including the United States, resulted in the re-imposition of certain restrictions and may lead to other restrictions being implemented again in response to efforts to reduce the spread of COVID-19. It is unclear how long these measures will remain in place, and they may remain in place in some form for an extended period of time. Accordingly, Air Lease has experienced the following impacts to its business:
“We continue to work tirelessly with our airline customers and the OEMs toward airline industry stabilization and recovery,” Steven F. Udvar-Házy, executive chairman of the board for Air Lease, said. “In China/Asia and Europe, which are our principal markets, we are seeing recovery trends domestically and regionally. The lowering of OEM production rates is helping to stabilize supply/demand, and we have a number of new aircraft lease deals in process to help meet the restructuring and modernization of the fleets of our airline customers.”
Like this story? Begin each business day with news you need to know! Register now for FREE Daily E-News Broadcast and start YOUR day informed!