Aircastle Announces First Quarter 2025 Results
Highlights for the Three Months Ended May 31, 2025
Total revenues of $260 million and net income of $49 million
13% increase in rental revenue compared to first quarter 2024
Adjusted EBITDA(1) of $232 million
Acquired 12 aircraft for $465 million, including 5 B737-MAX9 aircraft on lease to United Airlines
New technology aircraft comprised 46% of the fleet's net book value as of May 31, 2025
Sold 14 aircraft with an average age of 19 years for net proceeds of $227 million and gains on sale of $30 million
Fleet utilization over 99%
Liquidity
Issued new $600 million unsecured term loan with 18 lenders
Repaid $392 million secured term financing; 98% of total debt is unsecured as of May 31, 2025
Adjusted net debt-to-equity of 2.2 times as of May 31, 2025
Total liquidity as of July 1, 2025, of $2.6 billion includes $2.0 billion of undrawn facilities, $0.5 billion of projected adjusted operating cash flows and sales through July 1, 2026, and $0.1 billion of unrestricted cash
260 unencumbered aircraft and other flight equipment with a net book value of $8.0 billion
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(1)
Refer to the selected financial information accompanying this press release for a reconciliation of GAAP to Non-GAAP numbers
STAMFORD, Conn., July 10, 2025 /PRNewswire/ -- Mike Inglese, Aircastle's CEO, stated, "We're seeing continued growth across air traffic markets in 2025, especially in Europe, Latin America and Asia Pacific. Demand for extensions and sales remain strong. We sold 14 aircraft netting gains of $30 million in the first quarter. This quarter we also invested approximately $465 million in additional acquisitions, 71% of which was new technology aircraft. Overall, an outstanding effort from our global team of seasoned aviation professionals."
Mr. Inglese concluded, "We completed a new $600 million unsecured financing this quarter, a demonstration of the expanded access to Asia's capital markets afforded by our shareholders, Marubeni Corporation and Mizuho Leasing. Mindful of current market volatility and the competitive acquisition landscape, we remain confident in our liquidity position and our ability to profitably grow our fleet of the most in-demand narrow-body aircraft"
Aviation Assets
As of May 31, 2025, Aircastle owned 264 aircraft and other flight equipment having a net book value of $8.1 billion. We also manage 8 aircraft with a net book value of $241 million on behalf of our joint venture with Mizuho Leasing.
Owned Aircraft
As ofMay 31, 2025
As ofMay 31, 2024
Net Book Value of Flight Equipment (in millions)
$ 8,149
$ 7,327
Net Book Value of Unencumbered Flight Equipment (in millions)
$ 8,029
$ 5,958
Number of Aircraft
264
250
Number of Unencumbered Aircraft
260
212
Number of Lessees
77
76
Number of Countries
47
44
Weighted Average Age (Years)(1)
8.9
9.6
Weighted Average Remaining Lease Term (Years)(1)
5.6
5.2
Weighted Average Fleet Utilization during the three months ended May 31, 2025 and 2023(2)
99.5 %
99.1 %
Managed Aircraft on behalf of Joint Ventures
Net Book Value of Flight Equipment
$ 241
$ 268
Number of Aircraft
8
9
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1.
Weighted by Net Book Value.
2.
Aircraft on-lease days as a percentage of total days in period weighted by Net Book Value.
Conference Call
Following this press release, management will host a conference call on Thursday, July 10, 2025, at 9:00 A.M. Eastern Time. All interested parties are welcome to participate in the live call. The conference call can be accessed by dialing 1 (800) 836-8184 (from within the U.S. and Canada) or +1 (646) 357-8785 (outside the U.S. and Canada) ten minutes prior to the scheduled start. Please reference our company name "Aircastle" when prompted by the operator.
A simultaneous webcast of the conference call will be available to the public on a listen-only basis at www.aircastle.com. Please allow extra time prior to the call to visit the site and download the necessary software required to listen to the internet broadcast.
For those who are not available to listen to the live call, a replay will be available on Aircastle's website shortly after the live call.
About Aircastle Limited
Aircastle Limited acquires, leases and sells commercial jet aircraft to airlines throughout the world. As of May 31, 2025, Aircastle owned and managed on behalf of its joint ventures 272 aircraft leased to 78 airline customers located in 47 countries.
Safe Harbor
All statements in this press release, other than characterizations of historical fact, are forward-looking statements within the meaning of the federal securities laws, including the Private Securities Litigation Reform Act of 1995. Examples of forward-looking statements include, but are not necessarily limited to, statements relating to our proposed public offering of notes and our ability to acquire, sell, lease or finance aircraft, raise capital, pay dividends and increase revenues, earnings, EBITDA and Adjusted EBITDA and the global aviation industry and aircraft leasing sector. Words such as "anticipates," "expects," "enables," "intends," "plans," "positions," "projects," "believes," "may," "will," "would," "could," "should," "seeks," "estimates" and variations on these words and similar expressions are intended to identify such forward-looking statements. These statements are based on our historical performance and that of our subsidiaries and on our current plans, estimates and expectations and are subject to a number of factors that could lead to actual results being materially different from those described in the forward-looking statements; Aircastle can give no assurance that its expectations will be attained. Accordingly, you should not place undue reliance on any such forward-looking statements which are subject to certain risks and uncertainties that could cause actual results to differ materially from those anticipated as of the date of this press release. These risks or uncertainties include, but are not limited to, those described from time to time in Aircastle's filings with the SEC and previously disclosed under "Risk Factors" in Item 1A of Aircastle's most recent Form 10-K and any subsequent filings with the SEC. In addition, new risks and uncertainties emerge from time to time, and it is not possible for Aircastle to predict or assess the impact of every factor that may cause its actual results to differ from those contained in any forward-looking statements. Such forward-looking statements speak only as of the date of this press release. Aircastle expressly disclaims any obligation to revise or update publicly any forward-looking statement to reflect future events or circumstances.
Aircastle Limited and Subsidiaries
Consolidated Balance Sheets
(Dollars in thousands, except share data)
May 31,2025
February 28,2025
(Unaudited)
ASSETS
Cash and cash equivalents
$ 223,230
$ 279,052
Accounts receivable
12,134
9,662
Flight equipment held for lease, net
7,893,567
7,644,867
Net investment in leases, net
255,754
257,249
Unconsolidated equity method investment
46,206
45,813
