Air Lease Corporation Sees Share Price Increase After Strong Financial Results

Air Lease Corporation (NYSE: AL) shares experienced a notable rise today, following the company’s impressive financial performance in the fourth quarter of 2024.

Key Highlights:

Despite a slight 1% decline in rental revenue during the quarter, aircraft sales and trading revenue saw a rise of 2%. This growth was largely attributed to the successful sale of 14 aircraft. The company reported earnings of $1.34 per share, significantly surpassing analysts' expectations of $0.74 by 81.08%. However, it marked a decrease from the same quarter last year, where earnings were $1.92 per share, reflecting a 30.21% drop.

In addition, Air Lease’s quarterly sales amounted to $712.89 million, beating the consensus estimate of $704.03 million by 1.26%.

Record Annual Results

The full-year 2024 results were exceptional, showcasing record revenues of $2.73 billion, bolstered by $5 billion in aircraft purchases and $1.7 billion in aircraft sales. The company emphasized a robust leasing pipeline, with an impressive 100% of anticipated aircraft deliveries through 2026 already secured with long-term leases.

Operational and Financial Metrics

The operational highlights include the delivery of 18 aircraft in the fourth quarter, resulting in a total fleet size of 489 aircraft and assets exceeding $32 billion. On the financial front, the company concluded the year with a solid liquidity position of $8.1 billion and raised $1.3 billion through new debt financing.

Shareholder Returns and Future Outlook

In terms of shareholder returns, the board approved a quarterly cash dividend of 22 cents per share, which is scheduled to be paid on April 7, 2025. Looking ahead, CEO John L. Plueger and Executive Chairman Steven Udvar-Házy remain positive about future performance, anticipating higher lease rates and favorable aircraft valuations due to ongoing shortages in the market.

Stock Performance: As a result of these positive developments, shares of Air Lease were trading up by 6.54%, reaching a price of $49.38 at the time of this writing.

AirLease, Stocks, Revenue