Air Lease quarterly profit rises on travel rebound
2022.08.05 00:22
Air Lease logo is seen displayed in this illustration taken, May 4, 2022. REUTERS/Dado Ruvic/Illustration
(Reuters) -Aircraft lessor Air Lease (NYSE:AL) Corp on Thursday reported a rise in second-quarter profit as a rebound in travel drove demand for its jets.
Airlines looking to capitalize on the faster-than-expected recovery are fueling demand for the lessor’s new and young-used aircraft, supporting higher lease rates and boosting the value of the jets in its fleet.
“Aircraft shortages and concerns about future new aircraft delivery delays are causing many airlines to secure lease extensions on existing aircraft,” said Chief Executive Officer John Plueger.
Last quarter, the leasing giant had warned of a potential shortage of commercial jets as top planemakers Boeing (NYSE:BA) Co and Airbus SE (OTC:EADSY) faced stretched supply chains and certification risks, delaying deliveries.
Air Lease Chairman Steven Udvar-Házy said the company is getting more lease agreements.
It reported net profit of $105.9 million, or 95 cents per share, in the three months ended June 30, compared with a profit of $85.6 million, or 75 cents per share, a year earlier.
Revenue rose 13.4% to $557.7 million in the quarter.
