Willis Lease Finance 3rd quarter profits increase as utilization improves to 92%

Willis Lease Finance Corporation (WLFC), an independent jet engine lessor in the commercial finance sector, reported its third quarter 2015 net income increased 163% to US$2.6m compared to US$1.0m in the third quarter of 2014. This follows a net loss in the second quarter of 2015 which totaled US$0.5m resulting from a US$3.1m non-cash write-down related to the part-out of a wide-body aircraft engine. For the first nine months of 2015, net income was US$4.4m compared to US$7.5m for the first nine months of 2014. Average utilization in the current quarter was 91%, a significant improvement from 84% reported for the second quarter in 2015 and 81% reported for the first quarter 2015 and 82% in the year ago period. Utilization was 92% at quarter-end, compared to 87% at the end of of the second quarter 2015 and 82% a year ago. Total revenues increased 32% to US$57.8m in the current quarter from US$43.8m in the preceding quarter, and increased 27% from US$45.5m in the third quarter of 2014, fueled by the growing lease portfolio, higher portfolio utilization and higher gains from the sale of equipment.