BOC Aviation reports half year 2018 performance

Eleanor Steed
By Eleanor Steed August 15, 2018 11:32

BOC Aviation reports half year 2018 performance

BOC Aviation earned a net profit after tax of US$297 million during the first six months of 2018, which was up 24% compared with the same period last year. Revenue rose 23% from US$670 million to US$825 million, reflecting 19% growth in total assets to US$17.1 billion as at 30 June 2018, as compared with 30 June 2017. Net book value of our fleet grew to US$14.3 billion as the company continued with its “disciplined aircraft investment programme,” said Robert Martin, Managing Director and Chief Executive Officer.

During the reporting period, the lessor reports strong liquidity with US$411 million in total cash and fixed deposits, and US$3.5 billion in undrawn committed credit facilities as at 30 June 2018. The lessor also raise more than US$1.1 billion in new financing during the first six months of the year. Portfolio utilisation and cash collection from airline customers was 100% and 99.5%, respectively.

BOC Aviation now has a portfolio of 487 owned, managed and committed aircraft. Its owned fleet of 295 aircraft has an average age of 3.0 years and an average remaining lease term of 8.3 years, each weighted by net book value.

The lessor has an order book of 163 aircraft scheduled for delivery over the period from 1 July 2018 to 31 December 2021. BOC Aviation confirmed that 100% of orderbook deliveries scheduled in 2018 are placed with lessees.

During the period, it took delivery of 27 aircraft, including one acquired by an airline customer on delivery, in the first half of 2018. BOC Aviation also signed 30 lease commitments in the first half of 2018 expanding its customer base to 88 airlines in 35 countries and regions in the owned and managed fleet. Its managed fleet comprises 29 aircraft.

The lessor sold 19 aircraft, including one managed aircraft, during the first half of the year.

Eleanor Steed
By Eleanor Steed August 15, 2018 11:32