FTAI Aviation Ltd. Reports Second Quarter 2024 Results, Declares Dividend of $0.30 per Ordinary Share
FTAI Aviation (NASDAQ: FTAI) reported its Q2 2024 financial results, revealing a net loss of $228.2 million and basic/diluted earnings per share of -$2.26. Despite the loss, the company's Adjusted EBITDA reached $213.9 million. The Board declared a cash dividend of $0.30 per ordinary share for Q2, payable on August 20, 2024. Additionally, dividends were declared for preferred shares series A, B, C, and D.
Business highlights include Aerospace Products achieving a record Adjusted EBITDA of $91.2 million in Q2. FTAI has inducted 20 V2500 engines year-to-date and plans to induct 30 more by year-end. The company's Module Factory™ now boasts over 50 active customers worldwide.
FTAI Aviation (NASDAQ: FTAI) ha riportato i risultati finanziari del secondo trimestre 2024, rivelando una perdita netta di 228,2 milioni di dollari e utili per azione base/diluiti di -2,26 dollari. Nonostante la perdita, l'EBITDA rettificato dell'azienda ha raggiunto 213,9 milioni di dollari. Il Consiglio ha dichiarato un dividendo in contante di 0,30 dollari per azione ordinaria per il secondo trimestre, pagabile il 20 agosto 2024. Inoltre, sono stati dichiarati dividendi per le azioni privilegiate serie A, B, C e D.
Tra i punti salienti del business, si evidenzia che i Prodotti Aerospaziali hanno raggiunto un EBITDA rettificato record di 91,2 milioni di dollari nel secondo trimestre. FTAI ha indotto 20 motori V2500 dall'inizio dell'anno e prevede di indurre altri 30 entro la fine dell'anno. La Fabbrica dei Moduli™ dell'azienda conta ora oltre 50 clienti attivi in tutto il mondo.
FTAI Aviation (NASDAQ: FTAI) reportó sus resultados financieros del segundo trimestre de 2024, revelando una pérdida neta de 228,2 millones de dólares y ganancias por acción básicas/diluidas de -2,26 dólares. A pesar de la pérdida, el EBITDA ajustado de la compañía alcanzó los 213,9 millones de dólares. La Junta declaró un dividendo en efectivo de 0,30 dólares por acción ordinaria para el segundo trimestre, pagadero el 20 de agosto de 2024. Además, se declararon dividendos para las acciones preferentes series A, B, C y D.
Entre los aspectos destacados del negocio, se incluye que los Productos Aeroespaciales lograron un EBITDA ajustado récord de 91,2 millones de dólares en el segundo trimestre. FTAI ha inducido 20 motores V2500 hasta la fecha y planea inducir 30 más para fin de año. La Fábrica de Módulos™ de la empresa ahora cuenta con más de 50 clientes activos en todo el mundo.
FTAI 항공 (NASDAQ: FTAI)은 2024년 2분기 재무 결과를 발표하며 2억 2천 8백만 달러의 순손실과 기본/희석 주당 순이익 -2.26달러를 보고했습니다. 손실에도 불구하고, 회사의 조정 EBITDA는 2억 1천 3백 90만 달러에 도달했습니다. 이사회는 2024년 8월 20일 지급 예정인 보통주당 0.30달러의 현금 배당금을 선언했습니다. 또한, A, B, C 및 D 시리즈의 우선주에 대한 배당금도 선언되었습니다.
사업 하이라이트로는 항공우주 제품이 2분기에 9천 1백 20만 달러의 기록적인 조정 EBITDA를 달성했습니다. FTAI는 올해 들어 20개의 V2500 엔진을 도입했습니다 및 연말까지 30개를 도입할 계획입니다. 회사의 모듈 공장은 현재 전 세계에 50명 이상의 활성 고객을 보유하고 있습니다.
FTAI Aviation (NASDAQ: FTAI) a publié ses résultats financiers pour le deuxième trimestre 2024, révélant une perte nette de 228,2 millions de dollars et un bénéfice par action de base/dilué de -2,26 dollars. Malgré cette perte, l'EBITDA ajusté de l'entreprise a atteint 213,9 millions de dollars. Le Conseil a déclaré un dividende en espèces de 0,30 dollar par action ordinaire pour le deuxième trimestre, payable le 20 août 2024. De plus, des dividendes ont été déclarés pour les actions privilégiées des séries A, B, C et D.
Les points forts de l'activité incluent que les Produits Aérospatiaux ont atteint un EBITDA ajusté record de 91,2 millions de dollars au deuxième trimestre. FTAI a induit 20 moteurs V2500 depuis le début de l'année et prévoit d'en induire 30 de plus d'ici la fin de l'année. L'Usine de Modules™ de l'entreprise compte maintenant plus de 50 clients actifs dans le monde entier.
FTAI Aviation (NASDAQ: FTAI) hat die Finanzzahlen für das zweite Quartal 2024 veröffentlicht und dabei einen Nettoverlust von 228,2 Millionen Dollar sowie einen Basis-/verwässerten Gewinn pro Aktie von -2,26 Dollar bekannt gegeben. Trotz des Verlusts erreichte das bereinigte EBITDA des Unternehmens 213,9 Millionen Dollar. Der Vorstand erklärte eine Bardividende von 0,30 Dollar pro Stammaktie für das zweite Quartal, zahlbar am 20. August 2024. Zudem wurden Dividenden für die Vorzugaktien der Serien A, B, C und D erklärt.
Zu den Unternehmenshighlights gehört, dass d die Luft- und Raumfahrtprodukte im 2. Quartal ein Rekord-EBITDA von 91,2 Millionen Dollar erzielten. FTAI hat seit Jahresbeginn 20 V2500-Triebwerke induziert und plant, bis Ende des Jahres 30 weitere zu induzieren. Die Modul Factory™ des Unternehmens zählt nun mehr als 50 aktive Kunden weltweit.
- Adjusted EBITDA reached $213.9 million for Q2 2024
- Aerospace Products segment achieved record Adjusted EBITDA of $91.2 million
- FTAI inducted 20 V2500 engines year-to-date with plans for 30 more by year-end
- Module Factory™ now has over 50 active customers worldwide
- Declared cash dividend of $0.30 per ordinary share for Q2 2024
- Reported net loss of $228.2 million for Q2 2024
- Basic and diluted earnings per share were negative at -$2.26
Financial Overview: The financial results for Q2 2024 highlight some significant issues. The company reported a net loss of
Dividend Declaration: Declaring a dividend of
Investors should be cautious; while the high EBITDA shows operational strength, the substantial net loss requires a closer look at operating expenses and debt levels. The dividend might provide short-term confidence but understanding the causes of the net loss is critical for long-term investment decisions.
Aerospace Products Performance: The business highlight mentioning the Aerospace Products segment reaching a new Adjusted EBITDA high of
With 20 V2500 engines inducted to date and expectations to induct 30 more by year-end, FTAI shows robust activity in its operational capabilities. Additionally, having over 50 active customers for the Module Factory™ suggests strong demand and customer trust. These operational metrics can be seen as positive indicators for future revenue growth and market share stability.
Investors should monitor the sustainability of these numbers, as consistency in such performance could offset some concerns over the net loss.
Technological Advancements: The induction of V2500 engines and the expansion of the Module Factory™ to over 50 active customers demonstrate significant technological capabilities. It shows that FTAI is not only active in maintaining but also expanding its technological assets, which could provide a competitive edge.
The ability to induct 50 engines within a year reflects operational efficiency and high demand for FTAI’s technological solutions. Innovations in engine maintenance and repair could potentially lead to higher margins and customer retention.
For investors, these technological advancements may suggest a long-term growth trajectory, making the company's stock potentially more appealing despite short-term financial setbacks.
NEW YORK, July 23, 2024 (GLOBE NEWSWIRE) -- FTAI Aviation Ltd. (NASDAQ: FTAI) (the “Company” or “FTAI”) today reported financial results for the second quarter 2024. The Company’s consolidated comparative financial statements and key performance measures are attached as an exhibit to this press release.
Financial Overview
| (in thousands, except per share data) | ||||
| Selected Financial Results | Q2’24 | |||
| Net Loss Attributable to Shareholders | $ | (228,205 | ) | |
| Basic Earnings per Ordinary Share | $ | (2.26 | ) | |
| Diluted Earnings per Ordinary Share | $ | (2.26 | ) | |
| Adjusted EBITDA(1) | $ | 213,904 | ||
| _______________________________ (1) For definitions and reconciliations of non-GAAP measures, please refer to the exhibit to this press release. | ||||
Second Quarter 2024 Dividends
On July 23, 2024, the Company’s Board of Directors (the “Board”) declared a cash dividend on our ordinary shares of
Additionally, on July 23, 2024, the Board declared cash dividends on its Fixed-to-Floating Rate Series A Cumulative Perpetual Redeemable Preferred Shares (“Series A Preferred Shares”), Fixed-to-Floating Rate Series B Cumulative Perpetual Redeemable Preferred Shares (“Series B Preferred Shares”), Fixed-Rate Reset Series C Cumulative Perpetual Redeemable Preferred Shares (“Series C Preferred Shares”) and Fixed-Rate Reset Series D Cumulative Perpetual Redeemable Preferred Shares (“Series D Preferred Shares”) of
Business Highlights
- Aerospace Products reaches new Adjusted EBITDA high of
$91.2m m for Q2. (1) - FTAI has inducted 20 V2500 engines year to date and expects to induct an additional 30 by year end.
- FTAI’s Module Factory™ now has over 50 active customers worldwide.
(1) For definitions and reconciliations of non-GAAP measures, please refer to the exhibit to this press release.
Additional Information
For additional information that management believes to be useful for investors, please refer to the presentation posted on the Investor Center section of the Company’s website, https://www.ftaiaviation.com, and the Company’s Quarterly Report on Form 10-Q, when available on the Company’s website. Nothing on the Company’s website is included or incorporated by reference herein.
Conference Call
In addition, management will host a conference call on Wednesday, July 24, 2024, at 8:00 A.M. Eastern Time. The conference call may be accessed by registering via the following link https://register.vevent.com/register/BIdca77333acf741569740cfda9a5d8b1a/. Once registered, participants will receive a dial-in and unique pin to access the call.
A simultaneous webcast of the conference call will be available to the public on a listen-only basis at https://www.ftaiaviation.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 conference call will be available after 11:30 A.M. on Wednesday, July 24, 2024 through 11:30 A.M. on Wednesday, July 31, 2024 on https://ir.ftaiaviation.com/news-events/presentations/.
The information contained on, or accessible through, any websites included in this press release is not incorporated by reference into, and should not be considered a part of, this press release.
About FTAI Aviation Ltd.
FTAI owns and maintains commercial jet engines with a focus on CFM56 and V2500 engines. FTAI’s propriety portfolio of products, including the Module Factory and a joint venture to manufacture engine PMA, enables it to provide cost savings and flexibility to our airline, lessor, and maintenance, repair, and operations customer base. Additionally, FTAI owns and leases jet aircraft which often facilitates the acquisition of engines at attractive prices. FTAI invests in aviation assets and aerospace products that generate strong and stable cash flows with the potential for earnings growth and asset appreciation.
Cautionary Note Regarding Forward-Looking Statements
Certain statements in this press release may constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, expectations for inducting an additional 30 V2500 engines by year end. These statements are based on management's current expectations and beliefs and are subject to a number of trends and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements, many of which are beyond the Company’s control. The Company can give no assurance that its expectations will be attained and such differences may be material. Accordingly, you should not place undue reliance on any forward-looking statements contained in this press release. For a discussion of some of the risks and important factors that could affect such forward-looking statements, see the sections entitled “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in the Company’s most recent Annual Report on Form 10-K and Quarterly Reports on Form 10-Q, which are available on the Company’s website (www.ftaiaviation.com). In addition, new risks and uncertainties emerge from time to time, and it is not possible for the Company 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 press release. The Company expressly disclaims any obligation to release publicly any updates or revisions to any forward-looking statements contained herein to reflect any change in the Company's expectations with regard thereto or change in events, conditions, or circumstances on which any statement is based. This release shall not constitute an offer to sell or the solicitation of an offer to buy any securities.
For further information, please contact:
Alan Andreini
Investor Relations
FTAI Aviation Ltd.
(646) 734-9414
aandreini@fortress.com
Exhibit – Financial Statements
| FTAI AVIATION LTD. | ||||||||||||||||
| CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) | ||||||||||||||||
| (Dollar amounts in thousands, except share and per share data) | ||||||||||||||||
| Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||
| 2024 | 2023 | 2024 | 2023 | |||||||||||||
| Revenues | ||||||||||||||||
| Lease income | $ | 70,754 | $ | 59,541 | $ | 123,915 | $ | 115,519 | ||||||||
| Maintenance revenue | 51,187 | 42,065 | 96,977 | 77,206 | ||||||||||||
| Asset sales revenue | 72,433 | 76,836 | 111,040 | 185,527 | ||||||||||||
| Aerospace products revenue | 245,200 | 92,725 | 434,257 | 177,838 | ||||||||||||
| Other revenue | 4,020 | 3,178 | 4,099 | 10,973 | ||||||||||||
| Total revenues | 443,594 | 274,345 | 770,288 | 567,063 | ||||||||||||
| Expenses | ||||||||||||||||
| Cost of sales | 205,857 | 104,532 | 348,661 | 250,202 | ||||||||||||
| Operating expenses | 29,099 | 24,797 | 54,416 | 47,331 | ||||||||||||
| General and administrative | 2,969 | 3,188 | 6,652 | 7,255 | ||||||||||||
| Acquisition and transaction expenses | 8,019 | 2,672 | 14,198 | 5,934 | ||||||||||||
| Management fees and incentive allocation to affiliate | 3,554 | 5,563 | 8,449 | 8,560 | ||||||||||||
| Internalization fee to affiliate | 300,000 | — | 300,000 | — | ||||||||||||
| Depreciation and amortization | 56,691 | 38,514 | 106,611 | 79,440 | ||||||||||||
| Asset impairment | — | — | 962 | 1,220 | ||||||||||||
| Interest expense | 55,196 | 38,499 | 102,903 | 77,791 | ||||||||||||
| Total expenses | 661,385 | 217,765 | 942,852 | 477,733 | ||||||||||||
| Other (expense) income | ||||||||||||||||
| Equity in losses of unconsolidated entities | (694 | ) | (380 | ) | (1,361 | ) | (1,715 | ) | ||||||||
| Loss on extinguishment of debt | (13,920 | ) | — | (13,920 | ) | — | ||||||||||
| Other (expense) income | (498 | ) | 408 | 136 | 416 | |||||||||||
| Total other (expense) income | (15,112 | ) | 28 | (15,145 | ) | (1,299 | ) | |||||||||
| (Loss) income before income taxes | (232,903 | ) | 56,608 | (187,709 | ) | 88,031 | ||||||||||
| (Benefit from) provision for income taxes | (13,033 | ) | 1,855 | (7,461 | ) | 3,881 | ||||||||||
| Net (loss) income | (219,870 | ) | 54,753 | (180,248 | ) | 84,150 | ||||||||||
| Less: Dividends on preferred shares | 8,335 | 8,335 | 16,670 | 15,126 | ||||||||||||
| Net (loss) income attributable to shareholders | $ | (228,205 | ) | $ | 46,418 | $ | (196,918 | ) | $ | 69,024 | ||||||
| (Loss) Earnings per share: | ||||||||||||||||
| Basic | $ | (2.26 | ) | $ | 0.47 | $ | (1.96 | ) | $ | 0.69 | ||||||
| Diluted | $ | (2.26 | ) | $ | 0.46 | $ | (1.96 | ) | $ | 0.69 | ||||||
| Weighted average shares outstanding: | ||||||||||||||||
| Basic | 100,958,524 | 99,732,179 | 100,602,214 | 99,730,223 | ||||||||||||
| Diluted | 100,958,524 | 100,462,277 | 100,602,214 | 100,314,508 | ||||||||||||
| FTAI AVIATION LTD. | ||||||||
| CONSOLIDATED BALANCE SHEETS | ||||||||
| (Dollar amounts in thousands, except share and per share data) | ||||||||
| (Unaudited) | ||||||||
| June 30, 2024 | December 31, 2023 | |||||||
| Assets | ||||||||
| Cash and cash equivalents | $ | 169,485 | $ | 90,756 | ||||
| Restricted cash | 150 | 150 | ||||||
| Accounts receivable, net | 154,051 | 115,156 | ||||||
| Leasing equipment, net | 2,202,866 | 2,032,413 | ||||||
| Property, plant, and equipment, net | 33,078 | 45,175 | ||||||
| Investments | 19,886 | 22,722 | ||||||
| Intangible assets, net | 42,138 | 50,590 | ||||||
| Goodwill | 4,630 | 4,630 | ||||||
| Inventory, net | 373,282 | 316,637 | ||||||
| Other assets | 449,686 | 286,456 | ||||||
| Total assets | $ | 3,449,252 | $ | 2,964,685 | ||||
| Liabilities | ||||||||
| Accounts payable and accrued liabilities | $ | 128,708 | $ | 112,907 | ||||
| Debt, net | 3,077,596 | 2,517,343 | ||||||
| Maintenance deposits | 75,939 | 65,387 | ||||||
| Security deposits | 41,536 | 41,065 | ||||||
| Other liabilities | 55,906 | 52,100 | ||||||
| Total liabilities | $ | 3,379,685 | $ | 2,788,802 | ||||
| Commitments and contingencies | ||||||||
| Equity | ||||||||
| Ordinary shares ( | $ | 1,022 | $ | 1,002 | ||||
| Preferred shares ( | 159 | 159 | ||||||
| Additional paid in capital | 330,419 | 255,973 | ||||||
| Accumulated deficit | (262,033 | ) | (81,785 | ) | ||||
| Shareholders' equity | 69,567 | 175,349 | ||||||
| Non-controlling interest in equity of consolidated subsidiaries | — | 534 | ||||||
| Total equity | 69,567 | 175,883 | ||||||
| Total liabilities and equity | $ | 3,449,252 | $ | 2,964,685 | ||||
Key Performance Measures
The Chief Operating Decision Maker (“CODM”) utilizes Adjusted EBITDA as our key performance measure.
Adjusted EBITDA provides the CODM with the information necessary to assess operational performance, as well as make resource and allocation decisions. Adjusted EBITDA is defined as net income (loss) attributable to shareholders from continuing operations, adjusted (a) to exclude the impact of provision for income taxes, equity-based compensation expense, acquisition and transaction expenses, losses on the modification or extinguishment of debt and capital lease obligations, changes in fair value of non-hedge derivative instruments, asset impairment charges, incentive allocations, depreciation and amortization expense, dividends on preferred shares, and interest expense, internalization fee to affiliate, (b) to include the impact of our pro-rata share of Adjusted EBITDA from unconsolidated entities, and (c) to exclude the impact of equity in earnings (losses) of unconsolidated entities and the non-controlling share of Adjusted EBITDA.
The following table sets forth a reconciliation of net (loss) income attributable to shareholders to Adjusted EBITDA for the three and six months ended June 30, 2024 and 2023:
| Three Months Ended June 30, | Change | Six Months Ended June 30, | Change | |||||||||||||||||||||
| (in thousands) | 2024 | 2023 | 2024 | 2023 | ||||||||||||||||||||
| Net (loss) income attributable to shareholders | $ | (228,205 | ) | $ | 46,418 | $ | (274,623 | ) | $ | (196,918 | ) | $ | 69,024 | $ | (265,942 | ) | ||||||||
| Add: (Benefit from) provision for income taxes | (13,033 | ) | 1,855 | (14,888 | ) | (7,461 | ) | 3,881 | (11,342 | ) | ||||||||||||||
| Add: Equity-based compensation expense | 638 | 510 | 128 | 1,148 | 618 | 530 | ||||||||||||||||||
| Add: Acquisition and transaction expenses | 8,019 | 2,672 | 5,347 | 14,198 | 5,934 | 8,264 | ||||||||||||||||||
| Add: Losses on the modification or extinguishment of debt and capital lease obligations | 13,920 | — | 13,920 | 13,920 | — | 13,920 | ||||||||||||||||||
| Add: Changes in fair value of non-hedge derivative instruments | — | — | — | — | — | — | ||||||||||||||||||
| Add: Asset impairment charges | — | — | — | 962 | 1,220 | (258 | ) | |||||||||||||||||
| Add: Incentive allocations | 3,148 | 5,324 | (2,176 | ) | 7,456 | 8,266 | (810 | ) | ||||||||||||||||
| Add: Depreciation and amortization expense (1) | 65,809 | 48,934 | 16,875 | 124,931 | 97,704 | 27,227 | ||||||||||||||||||
| Add: Interest expense and dividends on preferred shares | 63,531 | 46,834 | 16,697 | 119,573 | 92,917 | 26,656 | ||||||||||||||||||
| Add: Internalization fee to affiliate | 300,000 | — | 300,000 | 300,000 | — | 300,000 | ||||||||||||||||||
| Add: Pro-rata share of Adjusted EBITDA from unconsolidated entities (2) | (617 | ) | 150 | (767 | ) | (1,165 | ) | (546 | ) | (619 | ) | |||||||||||||
| Less: Equity in losses of unconsolidated entities | 694 | 380 | 314 | 1,361 | 1,715 | (354 | ) | |||||||||||||||||
| Less: Non-controlling share of Adjusted EBITDA | — | — | — | — | — | — | ||||||||||||||||||
| Adjusted EBITDA (non-GAAP) | $ | 213,904 | $ | 153,077 | $ | 60,827 | $ | 378,005 | $ | 280,733 | $ | 97,272 | ||||||||||||
| _______________________________ (1) Includes the following items for the three months ended June 30, 2024 and 2023: (i) depreciation and amortization expense of (2) Includes the following items for the three months ended June 30, 2024 and 2023: (i) net loss of | ||||||||||||||||||||||||
FAQ
What was FTAI's net loss for Q2 2024?
What dividend did FTAI declare for Q2 2024?
How many V2500 engines has FTAI inducted in 2024 so far?
What was FTAI's Adjusted EBITDA for Q2 2024?
How many active customers does FTAI's Module Factory™ have?
