On Monday, Air Lease announced its impressive first-quarter financial results, surpassing analysts’ forecasts.
Its stock price went down by -0.07% to $40.19 per share on May 01. However, it is bound to go up by 0.57% to $40.42 apiece in the upcoming session.
The earnings per share of Air Lease increased to $1.50, exceeding the experts’ $0.98 consensus. Therefore, it beat the previous $1.42 data.
Likewise, the company’s revenue improved by $636.10 million, topping the $616.27 million speculations. As a result, it is better than the prior $601.60 million reading.
In the last four quarters, the company was able to go over the EPS forecasts four times.
Also, at the beginning of the year, Air Lease has an almost 5.00% rise. On the other hand, in the final trading minutes on Monday, its shares had a slight $40.19 fall in the last twelve months.
Moreover, its net income this year before income taxes sank to $166.80 million or $1.50 per adjusted diluted share. It is lower than the $200.90 million or $1.76 for the three months that ended on March 31, 2022.
The decrease was mainly led by the lower end of the lease and higher interest expense and aircraft transition costs.
Aircraft Delivery Delays from Air Lease
On May 01, Air Lease reported that it anticipates delivery delays from significant companies. This could go on for years, adding struggles in the aerospace industry due to a faster-than-expected travel rebound.
According to its chief executive, they have received more delay notices from Airbus and Boeing for 2023 and 2024 shipments.
Furthermore, the shortages have encouraged lease rates. As a result, it contributed to the Los Angeles-based leasing giant having better-than-expected Q1 earnings.
Based on analysts, the demand for commercial aircraft is solid now. Moreover, it is likely to go upward as traffic expansion continues.
In addition, Air Lease mentioned that it would have a discussion with plane makers about the delivery delays.