Business
Willis Lease Finance Corporation Reports First Quarter Pre-tax Profit of $8.5 million
COCONUT CREEK, Fla., May 05, 2020 (GLOBE NEWSWIRE) -- Willis Lease Finance Corporation (NASDAQ: WLFC) today reported first quarter pre-tax profit and total
About this update from Willis Lease Finance Corporation
[{"type":"text","content":"COCONUT CREEK, Fla., May 05, 2020 (GLOBE NEWSWIRE) -- Willis Lease Finance Corporation (NASDAQ: WLFC) today reported first quarter pre-tax profit and total revenues of $8.5 million and $81.6 million, respectively. The Company’s first quarter 2020 pre-tax results were impacted by both lower revenue in the core leasing business, which was influenced by a reduction in reported asset usage and reduced spare parts sales, and the one-time expense associated with our Willis Engine Structured Trust II re-financing. Aggregate lease rent and maintenance reserve revenues were $66.9 million for the first quarter of 2020. “The Company experienced another quarter of profitability but on lighter revenues primarily driven by the decline in global flight traffic, which led to lower maintenance revenues and spare parts sales,” said Charles F. Willis, Chairman and CEO. “We recognize that the COVID pandemic is putting a lot of strain on our lessee customer base and we do not see that correcting quickly. We therefore remain highly focused on protecting our business while continuing to deliver for our customers.\" “Like the rest of the world, our business, our people and our customers have been negatively affected by this incredible pandemic,” said Brian R. Hole, President. “But we are working harder than ever to deliver all that our Platform has to offer in support of our customers, providing liquidity through asset financings, asset management and technical services for repositioning assets, surplus material to lower maintenance costs and even opening a new aircraft storage and disassembly facility in the United Kingdom.” First Quarter 2020 Highlights (at or for the periods ended March 31, 2020, as compared to March 31, 2019, and December 31, 2019): Total revenue was $81.6 million in the first quarter of 2020, a 21.4% decrease when compared to $103.8 million in the same quarter of 2019.Lease rent revenue was $46.4 million in the first quarter of 2020.Maintenance reserve revenue was $20.5 million in the first quarter of 2020, a decrease of $4.8 million, or 19.0%, compared to $25.4 million in the same quarter of 2019. Long term maintenance reserve revenue increased to $8.6 million for the first quarter of 2020, compared to $7.8 million in the comparable prior period. Short term maintenance reserve revenue, which is influenced by lease asset usage, de...