Slide 1: Financial Year 2024 Results
Equity Ticker LSE: AVAP Bond Ticker LU: AVTCAP Warrants LSE: AVAW Financial Year 2024 Results 26 September2024 Jeff Chatfield Iain Cawte Duncan Scott Soeren Ferre Ashley Nicholas Executive Chairman Chief Financial Group General Chief Commercial Corporate Finance Officer Counsel Officer Director
Slide 2: Important Notice
Important Notice Some of the statements in this presentation constitute “forward-looking statements” that do not directly or exclusively relate to historical facts. These forward-looking statements reflect the Company’s current intentions, plans, expectations, assumptions and beliefs about future ev
Slide 3: Overview
avation PLC Overview
Slide 4: Snapshot of Avation as at June 2024
Snapshot of Avation as at 30 June 2024 Diversified Fleet and Customer Base Customers 18%/53%/29% 34 16 Airline split of located in 14 Widebody/narrowbody Aircraft Customers /turboprop aircraft by Countries value 7.3 Years 4.1 Years US$1.1bn US$406Mn Weighted Average Total asset value (1) Unearned co
Slide 5: Aircraft Portfolio as at June 2024
Aircraft Portfolio as at 30 June 2024 Popular aircraft with low average age Balanced fleet with valuable orderbook and purchase rights that create a significant growth opportunity By Aircraft Value Purchase Aircraft Type Fleet Orders Rights Turboprop Aircraft ATR 72-600 15 12 24 Turboprop ATR 72-500
Slide 6: Airline Customers
Airline Customers 16 Airline Customers in 14 Countries Airline Aircraft Number Vietjet A321-200 6 Air Baltic A220-300 5 Hevilift ATR 72-500 3 Mandarin ATR 72-600 3 Alliance Air ATR 72-600 2 Braathens ATR 72-600 2 Danish Air Transport ATR 72-600 2 US Bangla ATR 72-600 2 Cebu Pacific ATR72-600 1 A320-
Slide 7: FY2024 Results
avation PLC FY2024 Results
Slide 8: FY 2024 Summary
FY 2024 Summary Total Income Operating Profit US$96.0 million US$83.2 million FY 2023: $100.1 million FY 2023: $71.5 million Profit before tax Profit after tax US$30.0 million US$19.7 million FY 2023: $13.8 million FY 2023: $12.9 million Total Assets Net Indebtedness (1) US$1.14 billion US$651.5 mil
Slide 9: Highlights FY2024
Highlights FY2024 Aircraft Sales • ATR 72-500 repossessed from an airline in India and sold (October 2023) • Ex-Virgin Australia ATR72-600 sold in March 2024 Aircraft Leases • Ex-Virgin Australia ATR72-600 leased to PNG Air in April 2024 • Fleet fully utilised Aircraft Transitions • A320 transitione
Slide 10: Debt Analysis
Debt Analysis FY2024 FY2023 Total loans and borrowings (US$ million) 675.1 756.0 Net Indebtedness (US$ million) 651.5 731.2 Weighted Average Cost of Debt 6.4% 6.1% Weighted Average Cost of Secured Debt 4.8% 4.5% Proportion of Fixed/Hedged Interest Rate Debt 96.4% 95.8% Net Debt/Assets 57.0% 62.0% Co
Slide 11: Key Ratios
Key Ratios Comparative Ratios FY2024 FY2023 (Restated) Net asset value per share (US$) (A) $3.62 $3.44 Net asset value per share (£) £2.85 £2.71 Lease yield(B) 10.7% 9.7% Admin expense (ex warrants)/Revenue (C) 8.7% 8.2% Credit Ratios Debt/Equity (D) 2.6x 3.1x Net Debt/EBITDA 7.3X 7.9x Debt/Total As
Slide 12: Liquidity Update as at June 2024
Liquidity Update as at 30 June 2024 FY2024 FY2023 Loan maturities and covenants: Total cash $117.9m $116.9m Ø No loan maturities in FY25. Ø All debt current, covenants complied Unrestricted $23.6m $24.8m with. Restricted $94.3m $92.1m Ø Warehouse loan matures in Sept 2026. Finance lease $41.4m $45.1
Slide 13: Liability Structure & Loan Maturities
Liability Structure & Loan Maturities Loan maturities chart 450 416 400 350 300 $m 250 332 200 150 100 82 76 50 9- - 36 50 8- 31 29 73 76 23 48 - - - 42 31 29 23 - FY2025 FY2026 FY2027 FY2028 FY2029 FY2030 FY2031 Secured loans Warehouse loan Unsecured 13
Slide 14: Market & Strategy
avation PLC Market & Strategy 14
Slide 15: Aviation market long run growth
Aviation market long run growth Source: ICAO, IATA, IBA Aviation traffic exceeds 2019 and is returning to long run growth. 15
Slide 16: Interest & fuel costs have reduced
Interest & fuel costs have reduced Interest rates are decreasing: Oil price has reduced: Source: FT 19 Sep 2024 Market backdrop is constructive for aircraft leasing. 16
Slide 17: FY2025 Focus
FY2025 Focus • Maintain tight focus on managing liquidity and rent collection • Continue to reduce leverage and manage credit ratios • Identify opportunities to place ordered ATR aircraft for lease or sale • Seek opportunities for prudent fleet growth in the narrowbody aircraft secondary market 17
Slide 18: Future Strategy
Future Strategy Focus on fuel efficient, low CO2 emissions aircraft opportunities to support sustainable aviation: ATR are aiming for 100% SAF capability by 2025, ahead of all other aircraft OEM’s. Avation has an orderbook for 12 ATR aircraft and holds purchase rights for 24 additional ATR aircraft.
Slide 19: Conclusion
Conclusion Avation’s fleet is fully utilised Leverage has been reduced 10 ATR aircraft added to orderbook Purchase rights for 24 more ATR aircraft Positioned for sustainable fleet growth 19
Slide 20: Question & Answer Section
Question & Answer Section Avation PLC 65 Kampong Bahru Road Singapore 169370 Phone: + 65 6252 2077 www.avation.net Jeff Chatfield Iain Cawte Soeren Ferre Executive Chairman Chief Financial Officer Chief Commercial Officer jeff@avation.net iain@avation.net soeren@avation.net Duncan Scott Ashley Nicho