AerSale Reports Fourth Quarter and Full Year 2023 Results
- Revenue of $334.5 million for 2023
- GAAP net loss of $5.6 million
- Adjusted net income of $3.5 million
- Adjusted EBITDA of $12.3 million
- Challenges due to delayed flight equipment sales impacting Q4 and full-year financial performance
- AerAware™ receives FAA Supplemental Type Certificate
- Launches go-to-market activities
- Revenue excluding flight equipment sales increased by 7.6% year-over-year
- Lower flight equipment sales impacting financial performance
- GAAP net loss of $5.6 million in 2023
- Adjusted net loss of $0.1 million in Q4 2023
- Adjusted EBITDA decrease to $6.0 million in Q4 2023
- Decrease in gross margin to 25.9% in Q4 2023 from 36.0% in the previous year
- Full-year revenue decline of 18.1% from 2022
Insights
An examination of AerSale Corporation's financial performance reveals several key points of interest for investors and market analysts. The reported GAAP net loss of $5.6 million for the full year 2023, in contrast to the prior year's GAAP net income, indicates a significant shift in profitability. This shift is primarily attributed to lower flight equipment sales, which have a substantial impact on the company's revenue due to the high value of such assets. The delayed sales, expected to occur in the first half of 2024, suggest a potential rebound in revenue streams in the near term. However, investors should consider the volatility in flight equipment sales when evaluating AerSale's financial stability and future performance.
Furthermore, the company's adjusted EBITDA of $12.3 million, a considerable decrease from the previous year's $87.4 million, reflects the impact of lower-margin sales and a softened cargo market. This metric, often used to assess a company's operational efficiency, indicates that despite the net loss, AerSale was able to maintain some level of profitability before interest, taxes, depreciation and amortization. The decline in gross margin to 27.6% from 37.1% further corroborates the impact of a less favorable sales mix and market conditions on the company's profitability.
The Supplemental Type Certificate (STC) granted by the FAA for AerSale's AerAware™ Enhanced Flight Vision System (EFVS) represents a significant technological advancement in aviation. As the first commercial EFVS system with a 50% visual advantage and a dual-pilot solution, it has the potential to redefine safety and efficiency standards in the industry. The readiness to deploy the AerAware™ system to a large existing market of over 6,000 Boeing 737NG aircraft could catalyze a new revenue stream for AerSale.
The company's strategic feedstock acquisitions totaling $131.9 million, with an additional $72.0 million under contract, demonstrate a proactive approach to capitalizing on future market opportunities. These investments are poised to support the Asset Management Solutions activity in 2024, potentially bolstering future earnings. The growth in the Used Serviceable Material (USM) sales by 27.0% year-over-year indicates increasing demand for cost-effective, sustainable aviation parts, which could be a stable revenue source moving forward.
The aerospace sector is characterized by long-term cycles and the timing of flight equipment sales plays a critical role in financial performance, as evidenced by AerSale's report. The company's decision to cease providing numerical full-year guidance reflects the inherent unpredictability of revenue timing in this industry, particularly within the Asset Management division. This change in approach underscores the need for investors to adopt a long-term perspective when evaluating companies like AerSale.
The company's Technical Operations (TechOps) revenue increase by 11.3% (excluding flight equipment sales) suggests a robust demand for Maintenance, Repair and Overhaul (MRO) services, which is a positive indicator of the company's service segment strength. As the commercial aviation recovery continues, the demand for MRO services is likely to remain strong, providing a more predictable revenue stream compared to the volatility of flight equipment sales.
2023 Full Year Highlights
-
Revenue of
$334.5 million -
GAAP net loss of
$5.6 million -
Adjusted net income1 of
$3.5 million -
Adjusted EBITDA1 of
$12.3 million - Flight equipment sales included four (4) aircraft and seventeen (17) engines during 2023
- AerAware™ receives Supplemental Type Certificate from the Federal Aviation Administration; Company launches go-to-market activities
-
Feedstock acquisitions of
$131.9 million $72.0 million -
Flight Equipment inventory available of
$329.2 million -
Technical Operations revenue up
11.3% (excluding flight equipment sales) showing underlying strength in both on airport and component MROs
Nicolas Finazzo, AerSale’s Chief Executive Officer, commented, “The end of 2023 proved challenging as a large volume of anticipated flight equipment sales shifted into 2024, which substantially impacted our 4th quarter and full-year financial performance. As we regularly note, flight equipment sales fluctuate quarter-over-quarter and have an outsized impact on short term financials as the incremental revenue is realized after fixed costs have been fully absorbed by the rest of the business. These delayed flight equipment sales are not lost and are anticipated to occur in the first half of 2024, and we encourage investors to monitor our performance over a longer time period based on feedstock acquisitions and monetization.”
Finazzo added, “Demand for AerSale products and services is robust, and inventory ready for sale has increased markedly in 2023 as evidenced by our underlying business performance excluding flight equipment sales. We expect this momentum to continue into the new year and drive improved results going forward.”
Update on AerAware
In early December, the Federal Aviation Administration (“FAA”) issued AerSale a Supplemental Type Certificate (“STC”) for “AerAware™”, the Company’s revolutionary Enhanced Flight Vision System (“EFVS”) for the Boeing B737NG product line. This achievement marked the world's first commercial EFVS system to achieve a
Finazzo further added, "Achieving a
Following the certification, the Company launched its go-to-market strategy to address the more than 6,000 737NG aircraft in service that are applicable to the equipment. This follows months of customer demonstrations while the system was still in development and awaiting certification. To date, the Company has written proposals to five aircraft operators and continues to educate potential customers on the benefits of the AerAware™ system.
Finazzo concluded, “We are very pleased with the customer feedback and engagement following the FAA’s certification of the AerAware™ system and look forward to collaborating with potential customers further as we work to secure launch orders for the system.”
Fourth Quarter 2023 Results of Operations
Loss from operations was
AerSale reported revenue of
Asset Management Solutions (“Asset Management") revenue declined
Technical Operations (“TechOps”) revenue was
Gross margin was
Selling, general and administrative expenses were
Income tax expenses were
GAAP net loss was
AerSale recognized
Diluted loss per share was
Cash used in operating activities was
Full Year 2023 Results of Operations
Loss from operations was
For the full year 2023, AerSale reported consolidated revenue of
Asset Management revenue was
Revenue from TechOps was
Gross margin was
Selling, general and administrative expenses were
The Company incurred
Income tax benefit was
Adjusted EBITDA for 2023 was
Martin Garmendia, AerSale’s Chief Financial Officer, said: “Lower overall flight equipment sales in 2023 and delays of planned flight equipment sales at the end of the year materially impacted our fourth-quarter and full-year results. While these transactions can be volatile and unpredictable, we are pleased that the underlying business continues to show strong resilience and momentum; and anticipate that our consolidated financial performance will improve substantially as we begin to close on delayed transactions and further drive ROI from feedstock acquisitions.”
Change in Approach to Guidance
The timing of the Company’s revenue and operating results is inherently challenging due to the large portion of revenue driven by the Asset Management division and especially as it relates to volatility in flight equipment sales. As a result, we are ceasing our practice of providing numerical full year guidance. We will continue to provide as much qualitative detail as possible about opportunities and outcomes expected over future periods. Our change in guidance policy should not be interpreted as a change in our bullish view about 2024 and future years performance which we are confident we can drive from the diversified AerSale platform.
Conference Call Information
The Company will host a conference call today, March 7, 2024 at 4:30 pm Eastern Time to discuss these results. A live webcast will also be available at https://ir.aersale.com/news-events/events. Participants may access the call at 1-877-407-3982, international callers may use 1-201-493-6780, and request to join the AerSale Corporation earnings call.
A telephonic replay will be available shortly after the conclusion of the call and until March 21, 2024. Participants may access the replay at 1-844-512-2921, international callers may use 1-412-317-6671, and enter access code 13744028. An archived replay of the call will also be available on the Investors portion of the AerSale website at https://ir.aersale.com/.
Non-GAAP Financial Measures
This press release includes non-GAAP financial measures, including adjusted EBITDA, adjusted net income (loss), and adjusted diluted earnings (loss) per share. AerSale defines adjusted EBITDA as net income (loss) after giving effect to interest expense, depreciation and amortization, income tax expense (benefit), and other non-recurring or unusual items. Adjusted net income is defined as net income (loss) after giving effect to mark-to-market adjustments relating to our private warrants, stock-based compensation expense and other non-recurring or unusual items. Adjusted diluted earnings (loss) per share also exclude these material non-recurring or unusual items.
AerSale believes these non-GAAP measures of financial results provide useful information to management and investors regarding certain financial and business trends relating to AerSale’s financial condition and results of operations. AerSale’s management uses certain of these non-GAAP measures to compare AerSale’s performance to that of prior periods for trend analyses and for budgeting and planning purposes. These non- GAAP measures should not be construed as an alternative to net income or net income margin as an indicator of operating performance or as an alternative to cash flow provided by operating activities as a measure of liquidity (each as determined in accordance with GAAP).
You should review AerSale’s audited financial statements, and not rely on any single financial measure to evaluate AerSale’s business. Other companies may calculate adjusted EBITDA, adjusted net income, or adjusted diluted earnings per share differently, and therefore AerSale’s adjusted EBITDA, adjusted net income (loss), or adjusted diluted earnings (loss) per share measures may not be directly comparable to similarly titled measures of other companies.
Reconciliations of Net Income, the Company’s closest GAAP measure, to adjusted EBITDA, adjusted Net Income, and adjusted diluted earnings per share, are outlined in the tables below following the Company’s condensed consolidated financial statements.
Fourth Quarter and Full Year 2023 Financial Results
AERSALE CORPORATION AND SUBSIDIARIES Consolidated Statements of Operations (in thousands, except share and per share data) |
||||||||||||||||
|
|
|
|
|
||||||||||||
|
|
Three months ended December 31, |
|
Years ended December 31, |
||||||||||||
|
|
|
2023 |
|
|
|
2022 |
|
|
|
2023 |
|
|
|
2022 |
|
Revenue: |
||||||||||||||||
Products |
$ |
67,495 |
|
|
$ |
66,741 |
|
|
$ |
217,455 |
|
|
$ |
284,554 |
|
|
Leasing |
|
3,117 |
|
|
|
5,390 |
|
|
|
14,513 |
|
|
|
28,732 |
|
|
Services |
|
23,810 |
|
|
|
23,000 |
|
|
|
102,535 |
|
|
|
95,258 |
|
|
Total revenue |
|
94,422 |
|
|
|
95,131 |
|
|
|
334,503 |
|
|
|
408,544 |
|
|
Cost of sales and operating expenses: |
|
|
|
|
|
|
|
|||||||||
Cost of products |
|
48,200 |
|
|
|
42,372 |
|
|
|
155,376 |
|
|
|
176,074 |
|
|
Cost of leasing |
|
1,346 |
|
|
|
391 |
|
|
|
4,599 |
|
|
|
6,929 |
|
|
Cost of services |
|
20,460 |
|
|
|
18,146 |
|
|
|
82,107 |
|
|
|
74,147 |
|
|
Total cost of sales |
|
70,006 |
|
|
|
60,909 |
|
|
|
242,082 |
|
|
|
257,150 |
|
|
Gross profit |
|
24,416 |
|
|
|
34,222 |
|
|
|
92,421 |
|
|
|
151,394 |
|
|
Selling, general, and administrative expenses |
|
25,467 |
|
|
|
25,096 |
|
|
|
103,191 |
|
|
|
96,348 |
|
|
(Loss) income from operations |
|
(1,051 |
) |
|
|
9,126 |
|
|
|
(10,770 |
) |
|
|
55,046 |
|
|
Other income (expenses): |
|
|
|
|
|
|
|
|||||||||
Interest income (expense), net |
|
(1,023 |
) |
|
|
1,078 |
|
|
|
155 |
|
|
|
1,093 |
|
|
Other income, net |
|
168 |
|
|
|
1,742 |
|
|
|
666 |
|
|
|
2,268 |
|
|
Change in fair value of warrant liability |
|
1,266 |
|
|
|
1,356 |
|
|
|
2,270 |
|
|
|
(525 |
) |
|
Total other income (expenses) |
|
411 |
|
|
|
4,176 |
|
|
|
3,091 |
|
|
|
2,836 |
|
|
(Loss) income before income tax provision |
|
(640 |
) |
|
|
13,302 |
|
|
|
(7,679 |
) |
|
|
57,882 |
|
|
Income tax benefit (expense) |
|
(2,092 |
) |
|
|
(4,109 |
) |
|
|
2,116 |
|
|
|
(14,021 |
) |
|
Net (loss) income |
|
(2,732 |
) |
|
|
9,193 |
|
|
|
(5,563 |
) |
|
|
43,861 |
|
|
|
|
|
|
|
|
|
||||||||||
(Loss) earnings per share: |
|
|
|
|
|
|
|
|||||||||
Basic |
$ |
(0.05 |
) |
|
|
0.18 |
|
|
$ |
(0.11 |
) |
|
$ |
0.85 |
|
|
Diluted |
$ |
(0.05 |
) |
|
|
0.17 |
|
|
$ |
(0.15 |
) |
|
$ |
0.83 |
|
|
Weighted average shares outstanding: |
|
|
|
|
|
|
|
|||||||||
Basic |
|
51,407,116 |
|
|
|
51,149,584 |
|
|
|
51,291,424 |
|
|
|
51,568,436 |
|
|
Diluted |
|
51,536,593 |
|
|
|
52,932,237 |
|
|
|
51,457,821 |
|
|
|
53,145,639 |
|
|
AERSALE CORPORATION AND SUBSIDIARIES Consolidated Balance Sheets (in thousands, except share and par value data) |
||||||
|
|
|
|
|
||
|
|
December 31, |
|
December 31, |
||
|
|
2023 |
|
2022 |
||
|
|
|
|
|
||
Current assets: |
|
|
|
|
||
Cash and cash equivalents |
|
$ |
5,873 |
|
$ |
147,188 |
Accounts receivable, net of allowance for credit losses of |
|
|
31,239 |
|
|
28,273 |
Income tax receivable |
|
|
1,628 |
|
|
- |
Inventory: |
|
|
|
|
||
Aircraft, airframes, engines, and parts, net |
|
|
177,770 |
|
|
117,488 |
Advance vendor payments |
|
|
28,638 |
|
|
27,585 |
Deposits, prepaid expenses, and other current assets |
|
|
19,626 |
|
|
13,022 |
Total current assets |
|
|
264,774 |
|
|
333,556 |
Fixed assets: |
|
|
|
|
||
Aircraft and engines held for lease, net |
|
|
26,475 |
|
|
31,288 |
Property and equipment, net |
|
|
27,692 |
|
|
12,638 |
Inventory: |
|
|
|
|
||
Aircraft, airframes, engines, and parts, net |
|
|
151,398 |
|
|
66,042 |
Operating lease right-of-use assets |
|
|
27,519 |
|
|
31,624 |
Deferred income taxes |
|
|
12,203 |
|
|
11,287 |
Deferred financing costs, net |
|
|
1,506 |
|
|
544 |
Deferred customer incentives and other assets, net |
|
|
525 |
|
|
628 |
Goodwill |
|
|
19,860 |
|
|
19,860 |
Other intangible assets, net |
|
|
21,986 |
|
|
24,112 |
Total assets |
|
$ |
553,938 |
|
$ |
531,579 |
|
|
|
|
|
||
Current liabilities: |
|
|
|
|
||
Accounts payable |
|
$ |
29,899 |
|
$ |
21,131 |
Accrued expenses |
|
|
5,478 |
|
|
8,843 |
Lessee and customer purchase deposits |
|
|
1,467 |
|
|
17,085 |
Current operating lease liabilities |
|
|
4,593 |
|
|
4,426 |
Current portion of long-term debt |
|
|
1,278 |
|
|
- |
Deferred revenue |
|
|
2,998 |
|
|
1,355 |
Total current liabilities |
|
|
45,713 |
|
|
52,840 |
Revolving credit facility |
|
|
29,000 |
|
|
- |
Long-term debt |
|
|
7,281 |
|
|
- |
Long-term lease deposits |
|
|
102 |
|
|
152 |
Long-term operating lease liabilities |
|
|
24,377 |
|
|
28,283 |
Maintenance deposit payments and other liabilities |
|
|
64 |
|
|
668 |
Warrant liability |
|
|
2,386 |
|
|
4,656 |
Total liabilities |
|
|
108,923 |
|
|
86,599 |
Stockholders’ equity: |
|
|
|
|
||
Common stock, |
|
|
5 |
|
|
5 |
Additional paid-in capital |
|
|
311,739 |
|
|
306,141 |
Retained earnings |
|
|
133,271 |
|
|
138,834 |
Total stockholders' equity |
|
|
445,015 |
|
|
444,980 |
Total liabilities and stockholders’ equity |
|
$ |
553,938 |
|
$ |
531,579 |
AERSALE CORPORATION AND SUBSIDIARIES Consolidated Statements of Cash Flows (in thousands) |
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|
|
|
||||||
|
|
Years ended December 31, |
||||||
|
|
|
2023 |
|
|
|
2022 |
|
Cash flows from operating activities: |
|
|
||||||
Net (loss) income |
$ |
(5,563 |
) |
$ |
43,861 |
|
||
Adjustments to reconcile net (loss) income to net cash (used in) provided by operating activities: |
|
|
||||||
Depreciation and amortization |
|
10,459 |
|
|
10,984 |
|
||
Amortization of debt issuance costs |
|
400 |
|
|
455 |
|
||
Amortization of operating lease assets |
|
359 |
|
|
873 |
|
||
Inventory reserve |
|
1,507 |
|
|
2,376 |
|
||
Impairment of aircraft held for lease |
|
- |
|
|
857 |
|
||
Provision for credit losses |
|
- |
|
|
(395 |
) |
||
Deferred income taxes |
|
(916 |
) |
|
(2,387 |
) |
||
Change in fair value of warrant liability |
|
(2,270 |
) |
|
525 |
|
||
Share-based compensation |
|
12,051 |
|
|
16,498 |
|
||
Gain on legal settlement |
|
- |
|
|
(1,695 |
) |
||
Changes in operating assets and liabilities: |
|
|
||||||
Accounts receivable |
|
(2,966 |
) |
|
(1,029 |
) |
||
Income tax receivable |
|
(1,628 |
) |
|
- |
|
||
Inventory |
|
(168,632 |
) |
|
(37,637 |
) |
||
Deposits, prepaid expenses, and other current assets |
|
(6,604 |
) |
|
2,923 |
|
||
Deferred customer incentives and other assets |
|
103 |
|
|
893 |
|
||
Advance vendor payments |
|
(1,052 |
) |
|
(13,298 |
) |
||
Accounts payable |
|
8,768 |
|
|
1,164 |
|
||
Income tax payable |
|
- |
|
|
(3,443 |
) |
||
Accrued expenses |
|
(3,537 |
) |
|
417 |
|
||
Deferred revenue |
|
1,643 |
|
|
(1,505 |
) |
||
Lessee and customer purchase deposits |
|
(15,668 |
) |
|
(18,027 |
) |
||
Other liabilities |
|
(604 |
) |
|
(2,523 |
) |
||
Net cash (used in) provided by operating activities |
|
(174,150 |
) |
|
(113 |
) |
||
Cash flows from investing activities: |
|
|
||||||
Proceeds from sale of assets |
|
14,450 |
|
|
52,771 |
|
||
Proceeds from legal settlement, net |
|
- |
|
|
4,195 |
|
||
Acquisition of aircraft and engines held for lease, including capitalized cost |
|
- |
|
|
(7,133 |
) |
||
Purchase of property and equipment |
|
(11,359 |
) |
|
(8,462 |
) |
||
Net cash provided by investing activities |
|
3,091 |
|
|
41,371 |
|
||
Cash flows from financing activities: |
|
|
||||||
Proceeds from long-term debt |
|
8,559 |
|
|
- |
|
||
Proceeds from Revolving Credit Agreement |
|
82,700 |
|
|
- |
|
||
Repayments of Revolving Credit Agreement |
|
(53,700 |
) |
|
- |
|
||
Payments of debt issuance costs |
|
(1,362 |
) |
|
- |
|
||
Purchase of treasury stock |
|
- |
|
|
(22,204 |
) |
||
Taxes paid related to net share settlement of equity awards |
|
(7,019 |
) |
|
(2,592 |
) |
||
Proceeds from the issuance of Employee Stock Purchase Plan shares |
|
566 |
|
|
538 |
|
||
Net cash provided by (used in) financing activities |
|
29,744 |
|
|
(24,258 |
) |
||
|
|
|
||||||
(Decrease) increase in cash and cash equivalents |
|
(141,315 |
) |
|
17,000 |
|
||
Cash and cash equivalents, beginning of period |
|
147,188 |
|
|
130,188 |
|
||
Cash and cash equivalents, end of period |
$ |
5,873 |
|
$ |
147,188 |
|
||
|
|
|
||||||
Supplemental disclosure of cash activities |
|
|
||||||
Income tax payments, net |
|
1,159 |
|
|
21,489 |
|
||
Interest paid |
|
1,520 |
|
|
573 |
|
||
Supplemental disclosure of noncash investing activities |
|
|
||||||
Reclassification of aircraft and aircraft engines inventory to (from) aircraft and engine held for lease, net |
|
19,374 |
|
|
(25,803 |
) |
||
Reclassification of customer purchase deposits to sale of assets |
|
- |
|
|
12,500 |
|
||
Reclassification of amounts due from related party to investments |
|
- |
|
|
- |
|
||
AERSALE CORPORATION AND SUBSIDIARIES Adjusted EBITDA, Net Income and Diluted EPS Reconciliation Table (In ‘000s, except per share data) (Unaudited) |
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Three months ended December 31, |
|
Twelve months ended December 31, |
||||||||||||||||||||||
2023 |
|
% of Total Revenue |
|
2022 |
|
% of Total Revenue |
|
2023 |
|
% of Total Revenue |
|
2022 |
|
% of Total Revenue |
||||||||||
Reported Net (Loss)/Income |
(2,732 |
) |
(2.9 |
%) |
9,193 |
|
9.7 |
% |
(5,563 |
) |
(1.7 |
%) |
43,861 |
|
10.7 |
% |
||||||||
Addbacks: |
||||||||||||||||||||||||
Change in FV of Warrant Liability |
(1,266 |
) |
(1.3 |
%) |
(1,356 |
) |
(1.4 |
%) |
(2,270 |
) |
(0.7 |
%) |
525 |
|
0.1 |
% |
||||||||
Stock Compensation |
3,112 |
|
3.3 |
% |
4,470 |
|
4.7 |
% |
12,051 |
|
3.6 |
% |
16,498 |
|
4.0 |
% |
||||||||
Payroll taxes related to stock-based compensation |
403 |
|
0.4 |
% |
250 |
|
0.3 |
% |
403 |
|
0.1 |
% |
250 |
|
0.1 |
% |
||||||||
(Recovery of Prior Impairment) Inventory Impairment |
- |
|
- |
- |
|
- |
(2,670 |
) |
(0.8 |
%) |
1,845 |
|
0.5 |
% |
||||||||||
Impairment in Flight Equipment |
- |
|
- |
- |
|
- |
- |
|
0.0 |
% |
857 |
|
0.2 |
% |
||||||||||
Secondary Offering Costs |
140 |
|
0.1 |
% |
579 |
|
0.6 |
% |
764 |
|
0.2 |
% |
579 |
|
0.1 |
% |
||||||||
Facility Relocation Costs |
328 |
|
0.3 |
% |
804 |
|
0.8 |
% |
1,377 |
|
0.4 |
% |
804 |
|
0.2 |
% |
||||||||
Gain on legal settlement |
- |
|
(1,695 |
) |
(1.8 |
%) |
- |
|
(1,695 |
) |
(0.4 |
%) |
||||||||||||
Income Tax Effect of Adjusting Items (1) |
(129 |
) |
(0.1 |
%) |
96 |
|
0.1 |
% |
(590 |
) |
(0.2 |
%) |
76 |
|
0.0 |
% |
||||||||
Adjusted Net Income |
(143 |
) |
(0.2 |
%) |
12,341 |
|
12.9 |
% |
3,502 |
|
0.9 |
% |
63,600 |
|
15.5 |
% |
||||||||
Interest Expense |
1,023 |
|
1.1 |
% |
(1,078 |
) |
(1.1 |
%) |
(155 |
) |
(0.0 |
%) |
(1,093 |
) |
(0.3 |
%) |
||||||||
Income Tax Expense (Benefit) |
2,092 |
|
2.2 |
% |
4,108 |
|
4.3 |
% |
(2,116 |
) |
(0.6 |
%) |
14,021 |
|
3.4 |
% |
||||||||
Depreciation and Amortization |
2,872 |
|
3.0 |
% |
2,395 |
|
2.5 |
% |
10,457 |
|
3.1 |
% |
10,984 |
|
2.7 |
% |
||||||||
Reversal of Income Tax Effect of Adjusting Items (1) |
129 |
|
0.1 |
% |
(96 |
) |
(0.1 |
%) |
590 |
|
0.2 |
% |
(76 |
) |
(0.0 |
%) |
||||||||
Adjusted EBITDA |
5,974 |
|
6.2 |
% |
17,670 |
|
18.6 |
% |
12,279 |
|
3.6 |
% |
87,436 |
|
21.4 |
% |
||||||||
Reported Basic (loss) earnings per share |
(0.05 |
) |
0.18 |
|
(0.11 |
) |
0.85 |
|
||||||||||||||||
Addbacks: |
||||||||||||||||||||||||
Change in FV of Warrant Liability |
(0.02 |
) |
(0.03 |
) |
(0.04 |
) |
0.01 |
|
||||||||||||||||
Stock Compensation |
0.06 |
|
0.09 |
|
0.23 |
|
0.32 |
|
||||||||||||||||
Payroll taxes related to stock-based compensation |
0.01 |
|
0.00 |
|
0.01 |
|
0.00 |
|
||||||||||||||||
(Recovery of Prior Impairment) Inventory Impairment |
- |
|
- |
|
(0.05 |
) |
0.04 |
|
||||||||||||||||
Impairment in Flight Equipment |
- |
|
- |
|
- |
|
0.02 |
|
||||||||||||||||
Secondary Offering Costs |
0.00 |
|
0.01 |
|
0.01 |
|
0.01 |
|
||||||||||||||||
Facility Relocation Costs |
0.01 |
|
0.02 |
|
0.03 |
|
0.02 |
|
||||||||||||||||
Gain on legal settlement |
- |
|
(0.03 |
) |
- |
|
(0.03 |
) |
||||||||||||||||
Income Tax Effect of Adjusting Items (1) |
(0.00 |
) |
0.00 |
|
(0.01 |
) |
0.00 |
|
||||||||||||||||
Adjusted Basic (loss) earnings per share |
0.01 |
0.24 |
|
0.07 |
|
1.24 |
|
|||||||||||||||||
Reported Diluted (loss) earnings per share |
(0.08 |
) |
0.17 |
|
(0.15 |
) |
0.83 |
|
||||||||||||||||
Addbacks: |
||||||||||||||||||||||||
Change in FV of Warrant Liability |
(0.02 |
) |
(0.03 |
) |
(0.04 |
) |
0.01 |
|
||||||||||||||||
Stock Compensation |
0.06 |
|
0.08 |
|
0.23 |
|
0.31 |
|
||||||||||||||||
Payroll taxes related to stock-based compensation |
0.01 |
|
0.00 |
|
0.01 |
|
0.00 |
|
||||||||||||||||
(Recovery of Prior Impairment) Inventory Impairment |
- |
|
- |
|
(0.05 |
) |
0.03 |
|
||||||||||||||||
Impairment in Flight Equipment |
- |
|
- |
|
- |
|
0.02 |
|
||||||||||||||||
Secondary Offering Costs |
0.00 |
|
0.01 |
|
0.01 |
|
0.01 |
|
||||||||||||||||
Facility Relocation Costs |
0.01 |
|
0.02 |
|
0.03 |
|
0.02 |
|
||||||||||||||||
Gain on legal settlement |
- |
|
(0.03 |
) |
- |
|
(0.03 |
) |
||||||||||||||||
Income Tax Effect of Adjusting Items (1) |
(0.00 |
) |
0.00 |
|
(0.01 |
) |
0.00 |
|
||||||||||||||||
Adjusted Diluted (loss) earnings per share |
(0.02 |
) |
0.23 |
|
0.02 |
|
1.20 |
|
||||||||||||||||
Forward Looking Statements
This press release includes “forward-looking statements”. We intend such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in Section 27A of the Securities Act of 1933, as amended (the “Securities Act”), and Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”). All statements other than statements of historical facts contained in this press release may constitute forward-looking statements, and include, but are not limited to, statements regarding our anticipated financial performance; our expectations that we will close on our remaining flight equipment sales in 2024; anticipations regarding an increasingly favorable market for feedstock availability within AerSale’s USM business and greater demand for USM parts; expectations regarding feedstock, and our belief that we are extremely well positioned to take advantage of the current market dynamic; our belief that we are well positioned to take advantage of asset availability; our growth trajectory; our bullish view about 2024 and future years performance; the expected operating capacity of our MRO facilities and demand for such services; expectations of increased capacity for third party work and revenue at our
Forward-looking statements speak only as of the date they are made. Readers are cautioned not to put undue reliance on forward-looking statements and we qualify all of our forward-looking statements by these cautionary statements. Except as required by applicable law, we do not plan to publicly update or revise any forward-looking statements contained herein, whether as a result of any new information, future events, changed circumstances or otherwise.
About AerSale
AerSale serves airlines operating large jets manufactured by Boeing, Airbus and McDonnell Douglas and is dedicated to providing integrated aftermarket services and products designed to help aircraft owners and operators to realize significant savings in the operation, maintenance and monetization of their aircraft, engines, and components. AerSale’s offerings include: Aircraft & Component MRO, Aircraft and Engine Sales and Leasing, Used Serviceable Material sales, and internally developed ‘Engineered Solutions’ to enhance aircraft performance and operating economics (e.g. AerSafe™, AerTrak™, and now AerAware™).
____________________
1 Adjusted net income (loss), adjusted EBITDA and adjusted diluted earnings (loss) per share are non-GAAP measures. See “Non-GAAP Financial Measures” and “Adjusted EBITDA, Net Income and Diluted EPS Reconciliation Table” at the end of this press release for a discussion of why we believe these non-GAAP measures are useful and a detailed reconciliation of these measures to the most directly comparable GAAP (Generally Accepted Accounting Principles) measure, respectively.
View source version on businesswire.com: https://www.businesswire.com/news/home/20240307934281/en/
Media Contacts:
For more information about AerSale, please visit our website: www.AerSale.com.
Follow us on: LinkedIn | Twitter | Facebook | Instagram
AerSale: Jackie Carlon Telephone: (305) 764-3200
Email: media.relations@aersale.com
Investor Contact: AerSale: AersaleIR@icrinc.com
Source: AerSale Corporation
FAQ
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