News
AerCap profit drops 11% to $1.05 billion; CALC expects 60% profit hike for 2016
February 24th 2017
The world’s largest aircraft lessor, Dublin-headquartered AerCap, has reported a full-year 2016 net income of US$1.05 billion, an 11% decline from earnings of US$1.18 billion the previous year as total revenues declined 3% to US$5.15 billion. Read More »
Nevertheless, the lessor said it finished 2016 strongly with a record fourth-quarter profit of US$364.7 million, an increase from US$264.2 million in the corresponding year-ago quarter. Revenues to December 31 improved 2%, to $1.37 billion.
“AerCap delivered record results in the fourth quarter, finishing off a very successful year for the company,” said AerCap CEO, Aengus Kelly. “We continued to focus on proactive portfolio management initiatives which have resulted in executing more than $3 billion in asset sales. This, combined with signing a record 279 lease agreements, illustrates the scale of AerCap’s platform and the expertise of its people.”
At December 31, the lessor’s portfolio was 1,566 aircraft owned, on order or managed. In 2016, it made 458 aircraft transactions and had a 99.5% fleet utilisation rate. AerCap said 98% of its order book to 2018 and 78% to 2019 are leased. It has delivered the first A320neo to China Southern Airlines and signed with Loong Air for 20 A320 leases.
In other lessor updates, Hong Kong-headquartered China Aircraft Leasing Group (CALC) on Monday said it expects to post a net profit increase of “not less than 60%” for 2016. It will report its earnings next month. CALC had 81 aircraft at December 31, leased mostly to Mainland carriers. It planned to more than double its fleet to 173 by 2020.
