AerCap Q3 revenue up 19%, raises 2022 earnings outlook
AerCap has raised the full year 2022 adjusted EPS estimate to $8-$8.50 from the previous range of $6.50-$7.
NYSE-listed AerCap Holdings, the global leader in aviation leasing, reported a net income of $440 million for the third quarter of 2022, and earning per share came in at $1.82.
Total revenue increased 19 percent to $1.7 billion on 74 percent increase in basic lease rents to $1.5 billion, according to an official release.
"We are pleased to report another strong quarter of results for AerCap," says Aengus Kelly, Chief Executive Officer, AerCap. "We continued to see robust demand for air travel and growing demand for both new and used leased aircraft and engines. We generated strong net income and cash flow and achieved our target leverage ratio well ahead of our expectations. As a result, we are raising our guidance for the full year 2022."
AerCap executed 255 transactions in the third quarter of 2022 including 184 lease agreements, 34 purchases and 37 sales. Agreement has also been executed for up to 30 Airbus A321 passenger-to-freighter conversions, the release added.
For the first nine months, revenue increased 37 percent to $5.2 billion and net income was - $1.2 billion.
Flight equipment portfolio
As of September 30, AerCap's portfolio consisted of 3,571 aircraft, engines and helicopters that were owned, on order or managed, the release said. "The average age of the company's owned aircraft fleet was 7.2 years (4 years for new technology aircraft, 13.3 years for current technology aircraft) and the average remaining contractual lease term was 7.2 years.
AerCap has raised the full year 2022 adjusted EPS estimate to the range of $8-$8.50 from the previous range of $6.50-$7 given strong performance year to date and fourth quarter outlook.