Aircastle Announces Second Quarter 2015 Results

Board Declares Third Quarter 2015 Dividend of $0.22 per Common Share

Aug 06, 2015, 07:30 ET from Aircastle Limited

STAMFORD, Conn., Aug. 6, 2015 /PRNewswire/ --

Second Quarter Highlights

  • Net income of $41.8 million, or $0.51 per diluted common share, vs. $0.04 the prior year
  • Cash ROE was 14.6% and net cash interest margin was 9.1%
  • Acquired 19 aircraft for $553 million
  • Ordered 25 new technology Embraer E-Jet E2 aircraft, with the first delivery scheduled in 2018
  • Sold ten aircraft for approximately $180 million and designated for sale two freighter aircraft; total net pre-tax contribution of $16.2 million
  • 37th consecutive quarterly dividend declared by Aircastle's Board of Directors

Aircastle Limited (the "Company" or "Aircastle") (NYSE: AYR) reported second quarter 2015 net income of $41.8 million, or $0.51 per diluted common share and adjusted net income of $47.2 million, or $0.58 per diluted common share on total revenues of $204.6 million.    

Commenting on the results, Ron Wainshal, Aircastle's CEO, stated "We are continuing to execute on our strategy of growing while upgrading Aircastle's portfolio.  So far this year we've originated $1.0 billion in large, value-add deals with our airline customers while taking timely advantage of strong market conditions to sell older assets at attractive pricing.  In the course of doing so, we drove our cash ROE to 14.6% during the second quarter."   

Mr. Wainshal added, "Aircastle generated strong operating results by managing our portfolio through prudent and proactive initiatives.  Our portfolio utilization during the second quarter was in excess of 99% as we successfully redeployed ahead of schedule all of the aircraft we removed from Russia earlier this year.  Moreover, we continue to capitalize on strong lease demand by securing leases for nearly all of the aircraft we have coming off lease through next year, pushing the average remaining lease term to 5.8 years, nearly a year longer than a year ago." 

___________________________ Note:  Non-GAAP items reconciled in the Appendix.

 

Financial Results

(in thousands, except share data)

Three Months Ended

June 30,

Six Months Ended

June 30,

2015

2014

2015

2014

Total Revenues

$ 204,565

$ 226,146

$ 398,861

$ 402,749

Lease Rental and Finance Lease Revenues

$ 186,716

$ 187,128

$ 365,469

$ 365,450

Adjusted EBITDA

$ 214,608

$ 211,662

$ 404,822

$ 381,675

Net income

$   41,808

$     3,136

$   85,077

$     8,913

      Per common share - Diluted

$       0.51

$       0.04

$       1.05

$       0.11

Adjusted net income

$   47,229

$   47,692

$  97,686

$  60,952

      Per common share - Diluted

$       0.58

$       0.59

$      1.20

$      0.75

Second Quarter Results

Total revenues were $204.6 million, a decrease of $21.6 million, or 9.5%, from the previous year, driven by lower maintenance revenues of $14.8 million.  During the second quarter of 2014, we recorded $36.2 million of maintenance revenue related to nine aircraft that were sold, parted out or transitioned. 

Lease rental and finance lease revenues during the second quarter were $186.7 million.  The small change in this revenue versus last year reflects the combined effects of asset acquisitions, aircraft dispositions and lease extensions.

Adjusted EBITDA for the second quarter was $214.6 million, up 1.4% versus the prior year's quarter reflecting higher gains from aircraft sales of $20.2 million, partially offset by lower maintenance revenue of $14.8 million.        

Adjusted net income for the quarter was $47.2 million, down 1.0% year over year.  Higher gains from aircraft sales of $20.2 million were offset by lower total revenues of $21.6 million

Net income for the second quarter was $41.8 million versus $3.1 million the previous year.  In the second quarter of 2014 we incurred bond redemption expenses of $36.6 million associated with refinancing $450 million of 9.75% senior unsecured notes due in 2018. 

Aviation Assets

During the second quarter of 2015, we acquired nineteen aircraft for $553 million and committed to acquire six additional aircraft in 2015 for approximately $200 million.  Year-to-date, we acquired or committed to acquire a total of 31 aircraft that will close in 2015, for approximately $1.0 billion.  The aircraft acquired during the first half of 2015 had a weighted average age of less than four years, an average lease term of nearly nine years, and all but one were narrow-body aircraft. 

During the second quarter of 2015, we completed the sale of ten aircraft, including two older A330s and one 767-300ER.  We also designated for sale in the third quarter two MD-11 freighter aircraft.  The total pre-tax impact from this activity during the second quarter of 2015 was approximately $16.2 million

Q2 2015 Opportunistic and Exit Aircraft Sales

Number

Gain on

$ in thousands

of

Maintenance

Sale of Flight

Pre-tax

Aircraft

Revenue

Equipment

Impairment

Impact

Opportunistic Sales

8

$

$

19,572

$

$

19,572

Exit Sales

2

7,034

1,530

(5,328)

3,236

   Total Sales

10

7,034

21,102

(5,328)

22,808

Freighter Exits (1)

2

11,200

(17,852)

(6,652)

    Total

12

$

18,234

$

21,102

$

(23,180)

$

16,156

_______________ (1)  We intend to sell these freighter aircraft in the third quarter of 2015.

As of June 30, 2015, Aircastle owned 161 aircraft having a net book value of $6.1 billion. We also manage five aircraft with a net book value of approximately $500 million dollars on behalf of our joint venture with Ontario Teachers' Pension Plan.

Owned Aircraft as of June 30, 2015

Owned Aircraft as of June 30, 2014

Total Flight Equipment Held for Lease ($ mils.)

$

6,076

$

5,651

Unencumbered Flight Equipment Held for Lease ($ mils.)

$

3,705

$

3,187

Number of Aircraft

161

148

Number of Unencumbered Aircraft

110

91

Passenger Aircraft (% of NBV)

87%

84%

Weighted Average Fleet Age (years)(2)

8.0

8.6

Weighted Average Remaining Lease Term (years)(3)

5.8

4.9

Weighted Average Fleet Utilization for the period ended(4)

99.1%

100.0%

Portfolio Yield for the period ended(5)

12.6%

13.1%

Net Cash Interest Margin(6)

9.1%

9.7%

 

(1)

Calculated using net book value of flight equipment held for lease and net investment in finance leases at period end.

(2)

Weighted average age by net book value.

(3)

Weighted average remaining lease term by net book value.

(4)

Aircraft on-lease days as a percent of total days in period weighted by net book value.

(5)

Lease rental revenue for the period as a percent of the average net book value of flight equipment held for lease for the period; quarterly information is annualized.

(6)

Net Cash Interest Margin = Lease rental yield minus interest on borrowings, net of settlements on interest rate derivatives, and other liabilities  / average NBV of flight equipment for the period calculated on a quarterly basis, annualized.

Embraer Order

On June 15, 2015, Aircastle entered into an agreement to purchase 25 new technology E-Jet E2 aircraft from Embraer S.A.  The deliveries are scheduled to begin in 2018 at a rate of roughly seven units per year through 2021.  The agreement includes purchase rights for an additional 25 units, bringing the total potential order to up to 50 aircraft. 

Financing Activity

In the second quarter of 2015, we closed floating rate loans with Bank of Tokyo Mitsubishi UFJ and Development Bank of Japan, helping build our network of strong global banking relationships.  These loans, which total $150 million, are secured by two A330-300 aircraft acquired during the fourth quarter of 2014. 

During the second quarter of 2015, we also extended the maturity of our $600 million revolving credit facility by one year, to May of 2019. 

Common Dividend

On August 4, 2015, Aircastle's Board of Directors declared a third quarter 2015 cash dividend on its common shares of $0.22 per share, payable on September 15, 2015 to shareholders of record on August 31, 2015.  This is our 37th consecutive dividend.  

Conference Call

In connection with this earnings release, management will host an earnings conference call on Thursday, August 6, 2015 at 10:00 A.M. Eastern time.  All interested parties are welcome to participate on the live call.  The conference call can be accessed by dialing (888) 539-3612 (from within the U.S. and Canada) or (719) 457-2085 (from outside of the U.S. and Canada) ten minutes prior to the scheduled start and referencing the passcode "1175363".

A simultaneous webcast of the conference call will be available to the public on a listen-only basis at www.aircastle.com.  Please allow extra time prior to the call to visit the site and download the necessary software required to listen to the internet broadcast.  A replay of the webcast will be available for one month following the call.  In addition to this earnings release an accompanying power point presentation has been posted to the Investor Relations section of Aircastle's website.

For those who are not available to listen to the live call, a replay will be available until 1:00 P.M. Eastern time on Saturday, September 5, 2015 by dialing (888) 203-1112 (from within the U.S. and Canada) or (719) 457-0820  (from outside of the U.S. and Canada); please reference passcode "1175363".

About Aircastle Limited

Aircastle Limited acquires, leases and sells commercial jet aircraft to airlines throughout the world.  As of June 30, 2015, Aircastle's aircraft portfolio consisted of 161 aircraft on lease with 52 customers located in 32 countries.

Safe Harbor

All statements included or incorporated by reference in this Press Release (this "Release"), other than characterizations of historical fact, are forward-looking statements within the meaning of the federal securities laws, including the Private Securities Litigation Reform Act of 1995.  Examples of forward-looking statements include, but are not necessarily limited to, statements relating to our ability to acquire, sell, lease or finance aircraft, raise capital, pay dividends, and increase revenues, earnings, EBITDA, Adjusted EBITDA and Adjusted Net Income and the global aviation industry and aircraft leasing sector. Words such as "anticipates," "expects," "intends," "plans," "projects," "believes," "may," "will," "would," "could," "should," "seeks," "estimates" and variations on these words and similar expressions are intended to identify such forward-looking statements. These statements are based on our historical performance and that of our subsidiaries and on our current plans, estimates and expectations and are subject to a number of factors that could lead to actual results materially different from those described in the forward-looking statements; Aircastle can give no assurance that its expectations will be attained. Accordingly, you should not place undue reliance on any such forward-looking statements which are subject to certain risks and uncertainties that could cause actual results to differ materially from those anticipated as of the date of this Release.  These risks or uncertainties include, but are not limited to, those described from time to time in Aircastle's filings with the SEC and previously disclosed under "Risk Factors" in Item 1 A of Aircastle's 2014 Annual Report on Form 10-K, and elsewhere in this Release. In addition, new risks and uncertainties emerge from time to time, and it is not possible for Aircastle to predict or assess the impact of every factor that may cause its actual results to differ from those contained in any forward-looking statements. Such forward-looking statements speak only as of the date of this Release. Aircastle expressly disclaims any obligation to revise or update publicly any forward-looking statement to reflect future events or circumstances.

Contact:          

Aircastle Advisor LLC                                                    

The IGB Group

Frank Constantinople, SVP Investor Relations                    

Leon Berman

Tel: +1-203-504-1063                                                

Tel: +1-212-377-8483

fconstantinople@aircastle.com                                   

lberman@igbir.com

 

Aircastle Limited and Subsidiaries

Consolidated Balance Sheets

(Dollars in thousands, except share data)

June 30,  2015

December 31,  2014

(Unaudited)

ASSETS

Cash and cash equivalents

$

242,941

$

169,656

Accounts receivable

4,996

3,334

Restricted cash and cash equivalents

161,854

98,884

Restricted liquidity facility collateral

65,000

65,000

Flight equipment held for lease, net of accumulated depreciation of $1,361,420 and $1,294,063

5,953,555

5,579,718

Net investment in finance leases

122,855

106,651

Unconsolidated equity method investment

48,712

46,453

Other assets

203,762

157,317

Total assets

$

6,803,675

$

6,227,013

LIABILITIES AND SHAREHOLDERS' EQUITY

LIABILITIES

Borrowings from secured financings

$

1,427,374

$

1,396,454

Borrowings from unsecured financings

2,850,000

2,400,000

Accounts payable, accrued expenses and other liabilities

156,045

140,863

Lease rentals received in advance

56,785

53,216

Liquidity facility

65,000

65,000

Security deposits

111,765

117,689

Maintenance payments

351,148

333,456

Total liabilities

5,018,117

4,506,678

Commitments and Contingencies

SHAREHOLDERS' EQUITY

Preference shares, $.01 par value, 50,000,000 shares authorized, no shares issued and outstanding

Common shares, $.01 par value, 250,000,000 shares authorized, 81,181,495 shares issued and outstanding at June 30, 2015; and 80,983,249 shares issued and outstanding at December 31, 2014

812

810

Additional paid-in capital

1,566,268

1,565,180

Retained earnings

242,159

192,805

Accumulated other comprehensive loss

(23,681)

(38,460)

Total shareholders' equity

1,785,558

1,720,335

Total liabilities and shareholders' equity

$

6,803,675

$

6,227,013

 

Aircastle Limited and Subsidiaries

Consolidated Statements of Income

(Dollars in thousands, except per share amounts)

(Unaudited)

Three Months Ended June 30,

Six Months Ended June 30,

2015

2014

2015

2014

Revenues:

Lease rental revenue

$

184,839

$

183,231

$

361,985

$

357,566

Finance lease revenue

1,877

3,897

3,484

7,884

Amortization of lease premiums, discounts and lease incentives

(4,351)

414

(8,175)

(6,177)

Maintenance revenue

21,349

36,182

39,422

39,224

Total lease revenue

203,714

223,724

396,716

398,497

Other revenue

851

2,422

2,145

4,252

Total revenues

204,565

226,146

398,861

402,749

Operating expenses:

Depreciation

77,368

75,784

152,214

149,711

Interest, net

61,551

60,494

123,682

124,757

Selling, general and administrative (including non-cash share based payment expense of $1,387 and $1,228 for the three months ended and $2,557 and $2,218 for the six months ended June 30, 2015 and 2014, respectively)

14,699

14,057

28,631

28,001

Impairment of Aircraft

23,955

28,306

23,955

46,569

Maintenance and other costs

3,663

2,646

6,606

4,509

Total expenses

181,236

181,287

335,088

353,547

Other income (expense):

Gain on sale of flight equipment

21,102

884

27,355

1,994

Loss on extinguishment of debt

(36,570)

(36,570)

Other

277

271

757

Total other income (expense)

21,379

(35,686)

27,626

(33,819)

Income from continuing operations before income taxes

44,708

9,173

91,399

15,383

Income tax provision

4,465

6,558

9,328

7,441

Earnings of unconsolidated equity method investment, net of tax

1,565

521

3,006

971

Net income

$

41,808

$

3,136

$

85,077

$

8,913

Earnings per common share — Basic:

Net income per share

$

0.51

$

0.04

$

1.05

$

0.11

Earnings per common share — Diluted:

Net income per share

$

0.51

$

0.04

$

1.05

$

0.11

Dividends declared per share

$

0.22

$

0.20

$

0.44

$

0.40

 

Aircastle Limited and Subsidiaries

Consolidated Statements of Cash Flows

(Dollars in thousands)

(Unaudited)

Six Months Ended June 30,

2015

2014

Cash flows from operating activities:

Net income (loss)

$

85,077

$

8,913

Adjustments to reconcile net income to net cash provided by operating activities:

Depreciation

152,214

149,711

Amortization of deferred financing costs

7,465

6,987

Amortization of net lease discounts and lease incentives

8,175

6,177

Deferred income taxes

(1,363)

3,999

Non-cash share based payment expense

2,557

2,218

Cash flow hedges reclassified into earnings

14,343

18,181

Security deposits and maintenance payments included in earnings

(22,382)

(40,006)

Gain on sale of flight equipment

(27,355)

(1,994)

Loss on extinguishment of debt

36,570

Impairment of aircraft

23,955

46,569

Other

108

(91)

Changes in certain assets and liabilities:

Accounts receivable

(1,697)

(3,619)

Other assets

(2,155)

(1,914)

Accounts payable, accrued expenses and other liabilities

7,018

(20,438)

Lease rentals received in advance

3,646

2,742

Net cash provided by operating activities

249,606

214,005

Cash flows from investing activities:

Acquisition and improvement of flight equipment and lease incentives

(797,136)

(834,467)

Proceeds from sale of flight equipment

231,842

246,037

Restricted cash and cash equivalents related to sale of flight equipment

(76,433)

(7,600)

Aircraft purchase deposits and progress payments

(3,461)

(3,785)

Net investment in finance leases

(24,000)

(14,258)

Collections on finance leases

4,795

6,219

Other

(256)

87

Net cash used in investing activities

(664,649)

(607,767)

Cash flows from financing activities:

Issuance of shares net of repurchases

(1,960)

(2,091)

Proceeds from notes and term debt financings

800,000

803,200

Securitization and term debt financing repayments

(319,994)

(827,512)

Debt extinguishment costs

(32,835)

Deferred financing costs

(11,658)

(15,834)

Restricted liquidity facility collateral

42,000

Liquidity facility

(42,000)

Restricted cash and cash equivalents related to financing activities

13,463

29,015

Security deposits and maintenance payments received

71,536

83,144

Security deposits and maintenance payments returned

(27,336)

(44,577)

Payments for terminated cash flow hedges

(33,427)

Dividends paid

(35,723)

(32,402)

Net cash provided by (used in) financing activities

488,328

(73,319)

Net increase (decrease) in cash and cash equivalents

73,285

(467,081)

Cash and cash equivalents at beginning of period

169,656

654,613

Cash and cash equivalents at end of period

$

242,941

$

187,532

 

Aircastle Limited and Subsidiaries

Selected Financial Guidance Elements for the Third Quarter of 2015

($ in millions, except for percentages)

(Unaudited)

Guidance Item

Q3:15(1)

Lease rental revenue

$182 - $186

Finance lease revenue

$1 - $2

Maintenance revenue

$2 - $4

Amortization of net lease discounts and lease incentives

($5) – ($6)

SG&A

$14 - $15

Depreciation

$76 - $78

Interest, net (2)

$60 - $62

Gain on sale

$12 - $15

Full year effective tax rate

10% - 11%

 

(1)

Excludes the impact of lease end part outs.

(2)

Includes non-cash hedge loss amortization charges related to the payoff of Securitization No.1 of $2.7 million.

 

Aircastle Limited and Subsidiaries

Supplemental Financial Information

(Amount in thousands, except per share amounts)

(Unaudited)

Three Months Ended

June 30,

Six Months Ended

June 30,

2015

2014

2015

2014

Revenues

$ 204,565

$ 226,146

$ 398,861

$ 402,749

EBITDA

$ 189,543

$ 145,558

$ 378,476

$ 296,999

Adjusted EBITDA

$ 214,608

$ 211,662

$ 404,822

$ 381,675

Adjusted net income

$  47,229

$  47,692

$  97,686

$  60,952

Adjusted net income allocable to common shares

$  46,851

$  47,313

$  96,984

$  60,521

Per common share - Basic

$      0.58

$      0.59

$      1.20

$      0.75

Per common share - Diluted

$      0.58

$      0.59

$      1.20

$      0.75

Basic common shares outstanding

80,566

80,390

80,565

80,389

Diluted common shares outstanding

80,566

80,390

80,565

80,389

Refer to the selected information accompanying this press release for a reconciliation of GAAP to Non-GAAP information.

 

Aircastle Limited and Subsidiaries

Reconciliation of GAAP to Non-GAAP Measures

EBITDA and Adjusted EBITDA Reconciliation

(Dollars in thousands)

(Unaudited)

Three Months Ended

June 30,

Six Months Ended

June 30,

2015

2014

2015

2014

(Dollars in thousands)

Net income

$

41,808

$

3,136

$

85,077

$

8,913

Depreciation

77,368

75,784

152,214

149,711

Amortization of net lease discounts and lease incentives

4,351

(414)

8,175

6,177

Interest, net

61,551

60,494

123,682

124,757

Income tax provision

4,465

6,558

9,328

7,441

     EBITDA

189,543

145,558

378,476

296,999

Adjustments:

  Impairment of aircraft

23,955

28,306

23,955

46,569

  Loss on extinguishment of debt

36,570

36,570

  Non-cash share based payment expense

1,387

1,228

2,557

2,218

  Gain on mark to market of interest rate derivative contracts

(277)

(166)

(681)

     Adjusted EBITDA

$

214,608

$

211,662

$

404,822

$

381,675

 

We define EBITDA as income (loss) from continuing operations before income taxes, interest expense, and depreciation and amortization. We use EBITDA to assess our consolidated financial and operating performance, and we believe this non-US GAAP measure is helpful in identifying trends in our performance.

This measure provides an assessment of controllable expenses and affords management the ability to make decisions which are expected to facilitate meeting current financial goals as well as achieving optimal financial performance. It provides an indicator for management to determine if adjustments to current spending decisions are needed.

EBITDA provides us with a measure of operating performance because it assists us in comparing our operating performance on a consistent basis as it removes the impact of our capital structure (primarily interest charges on our outstanding debt) and asset base (primarily depreciation and amortization) from our operating results. Accordingly, this metric measures our financial performance based on operational factors that management can impact in the short-term, namely the cost structure, or expenses, of the organization. EBITDA is one of the metrics used by senior management and the board of directors to review the consolidated financial performance of our business.

We define Adjusted EBITDA as EBITDA (as defined above) further adjusted to give effect to adjustments required in calculating covenant ratios and compliance as that term is defined in the indenture governing our senior unsecured notes.  Adjusted EBITDA is a material component of these covenants.

 

Aircastle Limited and Subsidiaries

Reconciliation of GAAP to Non-GAAP Measures

Adjusted Net Income Reconciliation

(Dollars in thousands)

(Unaudited)

Three Months Ended

June 30,

Six Months Ended

June 30,

2015

2014

2015

2014

(Dollars in thousands)

Net income

$

41,808

$

3,136

$

85,077

$

8,913

Loss on extinguishment of debt(2)

36,570

36,570

Ineffective portion and termination of hedges(1)

294

9

294

62

Gain on mark to market of interest rate derivative contracts(2)

(277)

(166)

(681)

         Non-cash share based payment expense(3)

1,387

1,228

2,557

2,218

         Term Financing No. 1 hedge loss amortization charges(1)

1,275

3,839

4,401

7,943

         Securitization No. 1 hedge loss amortization charges (1)

2,742

2,910

5,523

5,927

Adjusted net income

$

47,229

$

47,692

$

97,686

$

60,952

 

(1)

Included in Interest, net.

(2)

Included in Other income (expense).

(3)

Included in Selling, general and administrative expenses.

 

 

Aircastle Limited and Subsidiaries

Reconciliation of GAAP to Non-GAAP Measures

Cash Return on Equity Calculation

(Dollars in thousands)

(Unaudited)

Cash Flow from Operations

Collections on Finance Leases

Gain (Loss) on Sale of Eqt.

Depreciation

Distributions from JV

Cash Earnings

Average Shareholders' Equity

12 Month Cash ROE

2008

$333,626

$6,525

$201,759

$138,392

$1,242,635

11.1%

2009

$327,641

$1,162

$209,481

$119,322

$1,205,284

9.9%

2010

$356,530

$7,084

$220,476

$143,138

$1,300,953

11.0%

2011

$359,377

$39,092

$242,103

$156,366

$1,370,513

11.4%

2012

$427,277

$3,852

$5,747

$269,920

$166,956

$1,425,658

11.7%

2013

$424,037

$9,508

$37,220

$284,924

$185,841

$1,513,156

12.3%

2014

$458,786

$10,312

$23,146

$299,365

$667

$193,546

$1,661,228

11.7%

LTM

$494,387

$8,888

$48,507

$301,868

$131

$250,045

$1,711,152

14.6%

Note:  LTM Average Shareholders' Equity is the average of the most recent five quarters period end Shareholders' Equity.  Management believes that the cash return on equity metric (Cash ROE) when viewed in conjunction  with the Company's results under US GAAP and the above reconciliation, provide useful information about operating and period-over-period performance, and provide additional information that is useful for evaluating the underlying operating performance of our business without regard to periodic reporting impacts related to non-cash revenue and expense items and interest rate derivative accounting, while recognizing the depreciating nature of our assets. 

 

Aircastle Limited and Subsidiaries

Reconciliation of GAAP to Non-GAAP Measures

Net Cash Interest Margin Calculation

(Dollars in thousands)

(Unaudited)

Average NBV of Flight Equipment

Quarterly Lease Rental Revenue

Cash Interest(1)

Annualized Net Cash Interest Margin

Q1:11

$     4,041,967

$        141,116

$              41,278

9.9%

Q2:11

$     4,143,446

$        143,356

$              43,217

9.7%

Q3:11

$     4,222,512

$        145,890

$              42,066

9.8%

Q4:11

$     4,374,921

$        149,848

$              43,041

9.8%

Q1:12

$     4,388,008

$        152,242

$              44,969

9.8%

Q2:12

$     4,516,973

$        153,624

$              48,798

9.3%

Q3:12

$     4,602,185

$        159,546

$              41,373

10.3%

Q4:12

$     4,605,783

$        158,090

$              43,461

10.0%

Q1:13

$     4,619,204

$        156,590

$              48,591

9.4%

Q2:13

$     4,711,790

$        157,918

$              47,869

9.3%

Q3:13

$     4,717,877

$        161,148

$              47,682

9.6%

Q4:13

$     4,972,040

$        169,274

$              49,080

9.7%

Q1:14

$     5,168,851

$        174,335

$              51,685

9.5%

Q2:14

$     5,582,359

$        183,231

$              48,172

9.7%

Q3:14

$     5,412,299

$        178,886

$              44,820

9.9%

Q4:14

$     5,373,733

$        178,202

$              44,459

10.0%

Q1:15

$     5,637,513

$        177,146

$              50,235

9.0%

Q2:15

$     5,850,516

$        184,839

$              51,413

9.1%

(1)

Excludes loan termination payments of $3.2 million and $3.0 million in the second quarter of 2011 and 2013 respectively.

 

Aircastle Limited and Subsidiaries

Reconciliation of GAAP to Non-GAAP Measures

Reconciliation of Net Income Allocable to Common Shares

(In thousands)

(Unaudited)

Three Months Ended

June 30, 2015

Six Months Ended

June 30, 2015

Weighted-average shares(1):

Shares

Percent(2)

Shares

Percent(2)

Common shares outstanding – Basic

80,566

99.20%

80,565

99.28%

Unvested restricted common shares

650

0.80%

583

0.72%

Total weighted-average shares outstanding

81,217

100.00%

81,149

100.00%

Net income allocation

Net income

$41,808

100.00%

$85,077

100.00%

Distributed and undistributed earnings allocated to unvested restricted shares

(335)

(0.80%)

(611)

(0.72%)

Earnings available to common shares

$41,473

99.20%

$84,466

99.28%

Adjusted net income allocation

Adjusted net income

$47,229

100.00%

$97,686

100.00%

Amounts allocated to unvested restricted shares

(378)

(0.80%)

(702)

(0.72%)

Amounts allocated to common shares

$46,851

99.20%

$96,984

99.28%

 

(1)

For the three and six months ended June 30, 2015 the company had no dilutive shares.

(2)

Percentages rounded to two decimal places.

 

Aircastle Limited and Subsidiaries

Reconciliation of GAAP to Non-GAAP Measures

Reconciliation of Net Income Allocable to Common Shares

(In thousands)

(Unaudited)

Three Months Ended

June 30, 2014

Six Months Ended

June 30, 2014

Weighted-average shares(1):

Shares

Percent(2)

Shares

Percent(2)

Common shares outstanding – Basic

80,390

99.21%

80,389

99.29%

Unvested restricted common shares

644

0.79%

572

0.71%

Total weighted-average shares outstanding

81,034

100.00%

80,961

100.00%

Net income allocation

Net income

$3,136

100.00%

$8,913

100.00%

Distributed and undistributed earnings allocated to unvested restricted shares

(25)

(0.79%)

(63)

(0.71%)

Earnings available to common shares

$3,111

99.21%

$8,850

99.29%

Adjusted net income allocation

Adjusted net income

$47,692

100.00%

$60,952

100.00%

Amounts allocated to unvested restricted shares

(379)

(0.79%)

(431)

(0.71%)

Amounts allocated to common shares

$47,313

99.21%

$60,521

99.29%

 

(1)

For the three and six months ended June 30, 2014 the company had no dilutive shares.

(2)

Percentages rounded to two decimal places.

 

SOURCE Aircastle Limited



RELATED LINKS

http://www.aircastle.com