ATSG reports strong second quarter results

Air Transport Services Group, a leading provider of medium wide-body aircraft leasing, air cargo transportation and related services, reported consolidated financial results for the quarter ended June 30th, 2014. Revenues were $149.6m, up $10.7m, or 8% from a year ago. Excluding revenues from reimbursable expenses, revenues increased $4.8 million, or 4%. Net earnings from continuing operations of $9.3m were up 34% from $6.9m a year ago. The Company has operating loss carryforwards for U.S. federal income tax purposes that offset its federal income tax liabilities. As a result, ATSG does not expect to pay significant federal income taxes until 2016 or later. Adjusted EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortization, also adjusted for the effect of derivative transactions) was $45.3m, up 26% from $35.9m in the prior-year quarter, and up 17% from $38.8m in the first quarter of 2014.
ATSG also separately announced that its Board of Directors has authorized the purchase of up to $50m of the company’s common shares, with discretion to determine whether and to what extent such repurchases might take place.