AerCap Holdings reports strong financial results

AerCap Holdings reported that its adjusted net income was $79.9m for the first quarter of 2014. Adjusted earnings per share were $0.70 for the first quarter of 2014, an increase of 17% over the first quarter of 2013. The debt to equity ratio was 2.5 to 1 at March 31, 2014, compared with 2.6 to 1 for the same period in 2013. AerCap signed financing transactions for $2.82bn, primarily relating to an agreement to replace ILFC’s $2.3bn unsecured revolving credit facility with a new $2.75bn four-year unsecured revolving credit facility, to become effective upon the closing of the ILFC transaction. Fleet utilization rate was 98.9% for the first quarter of 2014. The average age of the owned fleet as of March 31, 2014 was 5.6 years and the average remaining contracted lease term was 6.6 years. During the first quarter 2014, the Company purchased three aircraft with a total value of $0.2bn and the future aircraft purchases were $3.3bn as of March 31st, 2014, relating to 41 aircraft, including five purchase rights. The 36 aircraft that are fully committed are all placed on long term leases with an average term of 11.9 years. As previously disclosed, 29 aircraft transactions were executed during the first quarter of 2014. Subsequent to the first quarter of 2014, on April 22nd, 2014, AerCap completed the sale of 100% of the class A common shares in Genesis Funding Limited, an aircraft securitisation vehicle with a portfolio of thirty-seven aircraft with an average age of thirteen years valued at approximately $750m.