Aviation Capital Group (ACG) closed the third quarter of 2022 with total revenue of $228 million and a pre-tax net loss of $7 million. The company reported a cash flow from operations of $425 million for the nine-month period that ended September 30, 2022, an increase of 51% as compared to the same period last year.
The company ended the quarter with $2.5bn in immediate liquidity, comprised of $2.3 billion available under the revolving credit facilities and $0.2 billion in unrestricted cash. ACG took delivery of seven aircraft: five A320neo, one 737 MAX, and one A350.
The company also closed a $425 million senior unsecured term loan that includes an accordion feature allowing for an additional $250 million of commitments.
In March 2020, the company entered a secured credit facility (AFS Facility), which could be drawn on to provide loans (AFS Notes Receivable) for the benefit of airlines (AFS Finance Lessees) in connection with the AFS program. As of September 30, 2022, and December 31, 2021, the carrying value of the AFS Notes Receivable, net of deferred fees, was $422.4 million and $109.1 million, respectively,
As of September 30, 2022, ACG has unconditional purchase commitments for 128 aircraft scheduled for delivery through 2028. All these commitments arise from fixed-price purchase agreements with Boeing, Airbus, and other third parties.
The company is currently in active discussion with Boeing and Airbus to determine the estimated impact and duration of continued delivery delays given the recent adjustments to their production systems.