Willis Lease records 50 pct growth in pre-tax income to US$36 mln

KUALA LUMPUR, March 14 (Bernama) -- Willis Lease Finance Corporation today reported 50.4 per cent growth in annual pre-tax income to US$36 million, from US$23.9 million in 2016, and recorded total revenues of US$274.8 million. The company´s 2017 pretax results were driven by solid revenue growth in the core leasing business and a significant increase in spare parts and equipment sales with grew 189 per cent on a year over year basis. The aggregate lease rent and maintenance reserve revenues of US$210.6 million were driven by a 90 per cent average utilisation of a lease portfolio that grew 18.1 per cent to US$1.34 billion at year-end. Willis´s net income attributable to common shareholders grew 338 per cent to US$60.3 million for the year or to US$9.69 of diluted weighted average earnings per common share. The positive tax effects of the Tax Cuts and Jobs Act of 2017 contributed US$43.6 million to the company´s 2017 after-tax income.

"2017 was our most profitable year on a pre-tax basis since 2008, with record revenues, " said its chairman and chief executive officer, Charles F. Willis.

"Utilisation of our lease portfolio remains high due in part to robust maintenance activity on engine types we support, including some older engine types many thought would have been retired long ago.

"Last year was also important for us from a capital perspective as we were successful in closing our WEST III asset-backed securitisation and a second round of preferred equity, " he added. Meanwhile, Willis president, Brian R. Hole said in addition to their core leasing business, their trading, asset management and spare parts businesses performed well and continued to become more useful for their customers.

"We will continue to actively manage and grow our leasing portfolio and find new ways to create value for our growing customer base, " he said. Willis Lease Finance Corporation leases large and regional spare commercial aircraft engines, auxiliary power units and aircraft to airlines, aircraft engine manufacturers and maintenance, repair and overhaul providers in 120 countries.

-- BERNAMA