FLY Leasing Q4 and Full Year 2014 Financial Results

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By TESTCustomwebLP TESTCustomwebLP March 11, 2015 20:33

FLY Leasing Q4 and Full Year 2014 Financial Results

FLY Leasing has reported a Net income of $15.5 million, $0.37 per share, for the fourth quarter of 2014 and total revenues of $120.3 million, 40% up on Q4 2013.

For the full year 2014, net income was $56.1 million, or $1.32 per share, total revenues were $426.7 million, 15% up on prior year. FLY Leasing grew its portfolio value by 22% to $3.7 billion in 2014 and invested $951.5 million in 22 aircraft. The lessor sold eight aircraft for a net gain of $18.9 million and ended the year with unrestricted cash of $337.6 million. FLY has paid four quarterly dividends totaling $1.00 per share. During the fourth quarter, FLY also raised $400 million in unsecured debt to finance aircraft acquisitions

“FLY is reporting strong fourth quarter and full year results,” said Colm Barrington, FLY’s CEO. “Our fourth quarter and full year revenues are up 40% and 15%, respectively, driven by the successful rejuvenation of our fleet through the acquisition of newer aircraft and the sale of older models. This strategy has lowered the average age of our fleet to 7.8 years and increased our average lease term to over five years. We grew our book value per share to $18.32.”

“This is the second successive year in which we have grown our fleet substantially,” added Barrington. “In 2014, we bought 22 aircraft, mainly through sale and leaseback transactions with airlines, increasing our fleet value by 22% to more than $3.7 billion. In addition, we have continued to monetize older aircraft at premiums to book value, demonstrating the strong inherent value in our fleet. And we have continued to pay attractive quarterly dividends of 25 cents per share.”

“The global airline industry is in a healthy state, spurred by increasing passenger traffic and lower fuel prices. Airline profits reached record levels in 2014, with further improvements forecast for 2015. This industry health has stimulated demand from our airline customers to grow their fleets, and with aircraft manufacturers sold out for many years ahead, leasing is a key source of additional capacity. With ample capital and a nimble strategy that allows us to act quickly to take advantage of opportunities in the market, FLY is in an excellent position to continue its growth and deliver value to its shareholders,” said Barrington.

At December 31, 2014, the average age of FLY’s fleet, weighted by the net book value of each aircraft, was 7.8 years compared to 8.6 years at December 31, 2013. The average remaining lease term, also weighted by net book value, was 5.3 years as of December 31, 2014, an increase of approximately 12 months from the prior year. At December 31, 2014, FLY’s leases were generating annualized revenues of approximately $420 million. FLY’s lease utilization factor was 99% for the fourth quarter of 2014 and for the year ended December 31, 2014.  At December 31, 2014, there were three aircraft off-lease.

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By TESTCustomwebLP TESTCustomwebLP March 11, 2015 20:33