Aircastle reported fourth quarter 2022-2023 net income of $14 million compared to a $216 million net loss in fourth quarter 2021
Revenue came to $189 million and adjusted earnings (EBITDA) $180 million, the company announced.
"We're proud to finish fiscal 2022 with a return to profitability and increased trading while navigating challenging macroeconomics," said chief executive Mike Inglese.
According to its statement about its results for the quarter, Aircastle "acquired 7 aircraft for $296 million; 6 of which were new technology aircraft including 1 A320neo, A321neo, 1 737MAX8, and 3 Embraer E2s" and "sold 8 aircraft for proceeds of $92 million and a gain on sale of flight equipment of $4 million".
For the 12 months to February 28, Aircastle said cash flows from operations increased 17% compared to fiscal year 2021
It acquired 22 aircraft for $914 million and sold 25 aircraft and other flight equipment for $426 million. The total gain on sale was $71 million, with 17 years the average age of aircraft sold. It was party to 187 transactions for the fiscal year, taking in lease agreements, amendments, extensions, purchases and sales.
"Despite the competitive market for new technology aircraft, our team successfully completed just over $900 million in new acquisitions, over three-quarters of which were new technology. Meanwhile, our capital markets team also worked through the volatile interest rate environment and sourced $850 million in new financing," Inglese added.
Aircastle raised $850 million in "new financing" from a $450 million secured aircraft financing facility and $400 million for new or "upsized" revolving credit facilities.
By early April 2023, it had $2bn in cash, which includes $1.4bn of undrawn credit facilities, $0.5bn of projected adjusted operating cash flows through April 1, 2024, and $0.1 bn of unrestricted cash, with its 209 unencumbered aircraft having a net book value of $5.5bn.
"Our partnership with the Marubeni Corporation and Mizuho Leasing has just marked its three year anniversary. During 2022, this relationship continued to deliver on expanded market access and credit rating support. Our unique ownership, along with a limited forward order book and our ability to quickly raise and deploy capital, we are well positioned for disciplined future growth," Inglese said.