Falko, the aircraft leasing and asset management specialist focused on the small commercial aircraft segment, reported strong portfolio and financing activity in the fourth quarter and full year 2025, underlining sustained demand for regional and narrowbody aircraft.
During the fourth quarter, Falko completed transactions involving 43 aircraft and three engines, including the sale of eight aircraft and three engines and the addition of one aircraft to its managed portfolio. Leases were extended on 26 aircraft, while letters of intent were signed for a further five aircraft and sale agreements concluded on three aircraft. Of the aircraft transacted in Q4, 27 were jets, with the remainder turboprops.
For the full year, Falko completed transactions relating to 105 aircraft and five engines, comprising 83 lease extensions, the sale of 21 aircraft and the addition of one aircraft to its portfolio. At year-end, three aircraft were under sale agreement and a further 17 aircraft were subject to letters of intent for either sale or acquisition.
As of 31 December 2025, Falko’s managed portfolio totalled 194 aircraft placed with 33 airline customers worldwide, reflecting continued portfolio churn and active trading conditions in the small aircraft segment.
Chief commercial officer Mark Hughes said the high level of activity reflected airlines’ need to secure lift amid ongoing delivery delays from manufacturers. He said the large number of lease extensions demonstrated “continued demand for all aircraft types in our portfolio” as operators seek to retain in-service aircraft to bridge capacity gaps.
A key milestone for the lessor in 2025 was the completion of its first Japanese operating lease (JOL) transaction in the fourth quarter, marking Falko’s entry into the Japanese market.
Alongside portfolio activity, Falko also recorded a strong year for financing. The company raised just under $1 billion of debt across its platform in 2025, including a recently announced $672 million bank debt facility.
Hughes said the financing reflected the depth of Falko’s banking relationships and the strength of its airline customer base and trading counterparties, enabling the group to remain active in a dynamic market environment.