May 8th 2024

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Today's briefs report news from Air Lease Corporation, Boeing, Eve Holding, Embraer, Spirit AeroSystems and the U.S. Federal Aviation Administration. Read More »

Air Lease Corporation (ALC) has reported a US$97.4 million net profit for first quarter 2024, down 17.7% from the US$118.3 million profit the lessor booked in the matching months of a year ago. Revenue increased 4.3%, to US$663.3 million, ALC said in a regulatory filing. “With aircraft in short supply and values rising, we benefit from continued fleet expansion and sales activity in an industry that remains positive,” ALC CEO, John Plueger, said. “We see this environment continuing for the near to medium term.”

Eve Holding recorded a net loss of US$25.3 million in the three months to March 31, little changed from a net loss of US$25.8 million in the matching quarter last year. “Eve is pre-revenue. We do not expect meaningful revenues, if any, in the development phase of our aircraft and expect financial results to be mostly related to costs associated with the program’s development during this period,” Eve said.

Embraer has booked a net profit of US$28.7 million for the three months to March 31, close to a US$100 million turnaround from a net loss of US$70.8 million in the same months in 2023. Revenue improved 25.1%, to US$896.6 million, Embraer said in a regulatory filing. The company reaffirmed its previous guidance of deliveries of 72 to 80 commercial aircraft in calendar 2024 and said customers accepted seven of its commercial jets from January 1 to March 31 this year.

Spirit AeroSystems had a balance sheet of US$617 million in the read for first quarter 2024 as production issues with 737 fuselages continue. The results were significantly higher than the company’s US$281 million loss in the same months in 2023. Revenue was 19% better, at US$1.7 billion, Spirit AeroSystems said in a regulatory filing. “As of March 1, 2024, Spirit and Boeing have performed joint product verification to ensure conformity before transportation to Renton final assembly,” the company said. “Consequently, Spirit's deliveries to Boeing have been delayed and undelivered units have built-up in Wichita, Kansas, resulting in higher levels of inventory and contract assets and lower operational cash flows.”

The U.S. Federal Aviation Administration (FAA) has undertaken an investigation to determine if Boeing failed to conduct required inspections and falsified inspection records at its 787 program, local media has reported, citing an FAA spokesperson. The investigation began when Boeing self-reported the issue to the FAA after staff raised the matter with a supervisor. The FAA said Boeing was reinspecting all 787s in production and developing a plan for all 787s in service.