Willis Lease Finance Corporation has reported 50.4% growth in annual pre-tax income to US$36.0m, from US$23.9m in 2016, and recorded total revenues of US$274.8m. The Company’s 2017 pretax results were driven by solid revenue growth in the core leasing business and a significant increase in spare parts and equipment sales.
Aggregate lease rent and maintenance reserve revenues of US$210.6m were driven by a 90% average utilization of a lease portfolio that grew 18.1% to US$1.34bn at year-end. Spare parts and equipment sales grew 189% on a year over year basis.
Net income attributable to common shareholders grew 338% toUS$60.3m for the year or to US$9.69 of diluted weighted average earnings per common share. The positive tax effects of the Tax Cuts and Jobs Act of 2017 contributed US$43.6m to its 2017 after tax income.
“2017 was our most profitable year on a pre-tax basis since 2008, with record revenues” said Charles F. Willis, Chairman and CEO. “Utilization of our lease portfolio remains high due in part to robust maintenance activity on engine types we support, including some older engine types many thought would have been retired long ago. Last year was also important for us from a capital perspective as we were successful in closing our WEST III asset backed securitization and a second round of preferred equity.”
