Ftai Aviation Ltd. · NASDAQ:FTAI
Ftai Aviation — Q2 2025 Earnings Presentation
41 slides from Ftai Aviation's earnings presentation, Jul 30, 2025
Slide 1: Q2 2025 Earnings Supplement
FTAI AVIATION Q2 2025 Earnings Supplement JULY 2025
Slide 2: Disclaimers
Disclaimers IN GENERAL. This disclaimer applies to this document and the verbal or written comments of any person presenting it. This document, taken together with any such verbal or written comments, is referred to herein as the “Presentation.” The information contained on, or accessible through, a
Slide 3: Our Mission
Our Mission CFM56 & V2500 63% YoY Leading provider of aftermarket power Market Leaders Adj. EBITDA Growth(1) for the world’s most widely used commercial jet engines $22B Industry Total 3 MRE Facilities Differentiated Maintenance, Repair and Addressable Market(2) 8 Locations Exchange (“MRE”) product
Slide 4: Q2 2025 Key Highlights
Q2 2025 Key Highlights Strong performance driven by differentiated business model Statement of Operations USD MILLIONS Q2 2024 Q1 2025 Q2 2025 $676 million Revenue Aviation Leasing(1) $125.0 $162.0 $199.3 Aerospace Products(1) $91.2 $130.9 $164.9 $162 million Net Income Corporate & Other(1,3) Adjust
Slide 5: 30 Is the New 25: Why Aging Narrowbodies Are Driving the Future of Aviation
30 Is the New 25: Why Aging Narrowbodies Are Driving the Future of Aviation(1) 60% of narrowbody aircraft Average narrowbody retirement 40% of CFM56 engines are pre A320neo/B737 Max increased from 25 to 30 years yet to have first shop visit Enduring Horizon for CFM56 Shop Visits over Next 10 Years I
Slide 6: Positioned to Capitalize on Strong Market
Positioned to Capitalize on Strong Market MRE Q2 2025 Aerospace Products Revenue of $490 million Adoption Equivalent to annualized ~9% industry market share(1) Production Production rose 33% to 184 CFM56 modules in Q2 2025 Ramp Strong growth in Montreal and new production ramp-up in Rome Strategic 1
Slide 7: MRE Adoption Accelerating
MRE Adoption Annual CFM56 / V2500 Commercial MRO Demand(1) Accelerating 9% FTAI’S CURRENT ~$2B Total 9% Market share of CFM56 ANNUALIZED MARKET SHARE $22B & V2500 aftermarket(1) 91% Aerospace Products Adj. EBITDA(2) ($M) Market share 100% annual Diverse global $165 doubled in last revenue growth cus
Slide 8: Production Ramp-Up Continues
Production Ramp-Up Continues Module Production by Facility(1) Rome Acquisition Closed Montreal 2025 Goal Miami 2025 Goal Rome 2025 Goal 400 250 100 Q1 77 Q1 61 Q1 -- Access to ~40% of Q2 91 Capacity Q2 64 Capacity Q2 29 Capacity FTAI’s Customer Base 1H 168 900 1H 125 450 1H 29 450 Powered by Bing ©
Slide 9: Developing Technical Talent to Accelerate Production
Developing Technical Talent to Accelerate Production(1) As part of FTAI’s growth, we are committed to investing in the next generation of technicians to strengthen our long-term production capabilities. Launch of Montreal Training Academy Leveraging Augmented Reality (AR) • Established MRE Training
Slide 10: Strategic M&A to Expand Proprietary Capabilities and Drive Cost Efficiencies
Strategic M&A to Expand Proprietary Capabilities and Drive Cost Efficiencies(1) M&A Target Criteria QuickTurn Europe Rome - MRO • Synergies with MRE platform • Undervalued opportunity QuickTurn LMCES Pacific Aero • Accelerates FTAI market share Miami - MRO Montreal - MRO CA - Repairs 2023 2024 2025
Slide 11: Strategic Capital Initiative
Strategic Capital 2025 Partnership Updates Initiative • $2.2 billion or 145x Aircraft closed or under LOI (54% of annual target)(3) o 75x closed Aircraft including 37x from FTAI seed portfolio $4B o 70x Aircraft under LOI including 8x from FTAI seed portfolio 2025 SPV ~250 Investment Targets Capital
Slide 12: Aviation Portfolio Composition
Aviation Portfolio Leasing Assets ($M) Composition Aircraft Engines (17%) • Closed on sale of 37 aircraft from $2,326 seed portfolio to SCI 2025 YTD $1,867 $1,930 $1,740 48% • SCI sales reduced leasing asset 45% Asset-Light Strategy 40% 60% base by 17% vs. 2024 52% • Aircraft-to-engine mix pivot 60%
Slide 13: Revised $750M 2025 Adjusted Free Cash Flow Target
Revised $750M $370 million Adjusted free cash flow generated in 1H 2025 net of major investments in leasing assets and inventory 2025 Adjusted Free Adjusted free cash flow anticipated for 2H 2025 Cash Flow Target(1) ~$380 million net of additional SCI equity investments(1) Adjusted FCF(2) Key Highli
Slide 14: Capital Structure
Significant growth in generation of Adj. EBITDA(1) creates operational leverage: Capital • Net Debt / Run-Rate Adj. EBITDA(1) multiple of 2.4x in Q2 2025 Structure • • Total liquidity of $702 million including $400 Million of Corporate Revolver Facility available Revised Target of Net Debt / Run-Rat
Slide 15: Business Segment Highlights
Business Segment Highlights
Slide 16: Aerospace Products
Innovative Maintenance Solutions for the CFM56 and V2500 Engines Aerospace • Annual growth of 81% in Adj. EBITDA(1) versus Q2 2024 Products • Q2 2025 included $69.6 million in MRE Contract Revenue from SCI • Adj EBITDA margin of 34% in Q2 2025(2) Statement of Operations Adj EBITDA(1) Q2 Q3 Q4 Q1 Q2
Slide 17: Aviation Leasing
Aviation Leasing $199.3 million Adj. EBITDA for $24.2 million in recoveries Q2 2025 Adj. EBITDA Q2 2025 including gains on from assets written-off excluding gains on sales from sale of 33x Aircraft from Russia/Ukraine War sales and recoveries from Seed Portfolio to SCI(1) included in Q2 2025 grew 29
Slide 18: Aviation Leasing KPI Metrics
Aviation Leasing KPI Metrics Providing Flexible Green-time Power to Airline Customers • Leased portfolio of Aftermarket Aviation assets to diversified, global customer base • Q2 2025 annualized Adj. EBITDA yield of 27%(1) • Includes 8x remaining Seed Portfolio Aircraft to be sold to inaugural SCI(2)
Slide 19: Corporate & Other
Strong financial foundation of substantial liquidity and low cost of capital to support sustained growth: Corporate • $400 million Revolving Credit Facility undrawn as of June 30, 2025 & Other • 6.5% weighted average cost of $3.5B Senior Notes • Robust financial position with no bond debt maturities
Slide 20: End Notes
End Notes Slide Footnote Description 1. This is a Non-GAAP measure. See Reconciliation of Non-GAAP Measures section in Appendix for a reconciliation to the most comparable GAAP measure. Year-over-year growth of 63% reflects Adjusted EBITDA Q2 2025 results compared to Q2 2024. 3 2. $22 billion estima
Slide 21: End Notes (cont'd)
End Notes (cont’d) Slide Footnote Description 1. Per MBA Aviation 2024 Report. Includes A320ceo and B737NG Aircraft. 2. Secured asset-level debt financing by ATLAS SP Partners, majority owned subsidiary of Apollo funds, and Deutsche Bank. Non-recourse to FTAI Aviation. 3. As of 07/25/25. In-place LO
Slide 22: Appendix
Appendix Statement of Operations by Segment Comparative Statements of Operations Condensed Balance Sheets Reconciliation of Non-GAAP Measures Glossary
Slide 23: Appendix
Appendix Statement of Operations by Segment Comparative Statements of Operations Condensed Balance Sheets Reconciliation of Non-GAAP Measures Glossary
Slide 24: Statement of Operations by Segment (unaudited)
Statement of Operations by Segment (unaudited) For the Three Months Ended June 30, 2025 ($s in thousands) Aviation Leasing Aerospace Products Corporate and Other Eliminations Total Revenues $ 185,966 $ 490,271 $ — $ — $ 676,237 Expenses Cost of sales 51,789 317,469 — — 369,258 Operating expenses 11,
Slide 25: Statement of Operations by Segment (unaudited)
Statement of Operations by Segment (unaudited) For the Three Months Ended June 30, 2024 ($s in thousands) Aviation Leasing Aerospace Products Corporate and Other Total Revenues $ 184,437 $ 245,200 $ 13,957 $ 443,594 Expenses Cost of sales 58,969 146,888 — 205,857 Operating expenses 8,782 6,423 13,89
Slide 26: Statement of Operations by Segment (unaudited)
Statement of Operations by Segment (unaudited) For the Six Months Ended June 30, 2025 ($s in thousands) Aviation Leasing Aerospace Products Corporate and Other Eliminations Total Revenues $ 322,979 $ 855,334 $ 4 $ — $ 1,178,317 Expenses Cost of sales 71,748 546,224 — — 617,972 Operating expenses 18,
Slide 27: Statement of Operations by Segment (unaudited)
Statement of Operations by Segment (unaudited) For the Six Months Ended June 30, 2024 ($s in thousands) Aviation Leasing Aerospace Products Corporate and Other Total Revenues $ 319,747 $ 434,257 $ 16,284 $ 770,288 Expenses Cost of sales 90,858 257,803 — 348,661 Operating expenses 16,989 13,893 23,53
Slide 28: Appendix
Appendix Statement of Operations by Segment Comparative Statements of Operations Condensed Balance Sheets Reconciliation of Non-GAAP Measures Glossary
Slide 29: Consolidated - Comparative Statements of Operations
Consolidated - Comparative Statements of Operations (unaudited) ($s in thousands) 6/30/2024 9/30/2024 12/31/2024 3/31/2025 6/30/2025 Revenues Aerospace products revenue $ 245,200 $ 303,469 $ 342,095 $ 264,425 $ 420,686 MRE contract revenue — — — 100,638 69,585 Lease income 70,754 65,450 65,973 68,44
Slide 30: Aviation Leasing - Comparative Statements of Operations
Aviation Leasing - Comparative Statements of Operations (unaudited) ($s in thousands) 6/30/2024 9/30/2024 12/31/2024 3/31/2025 6/30/2025 Revenues Lease Income $ 60,759 $ 57,322 $ 65,484 $ 68,440 $ 62,439 Maintenance revenue 51,187 59,917 43,915 49,607 73,104 Asset sales revenue 72,433 34,953 46,183
Slide 31: Aerospace Products - Comparative Statements of Operations
Aerospace Products - Comparative Statements of Operations (unaudited) ($s in thousands) 6/30/2024 9/30/2024 12/31/2024 3/31/2025 6/30/2025 Revenues Aerospace products revenue $ 245,200 $ 303,469 $ 342,095 $ 264,425 $ 420,686 MRE contract revenue — — — 100,638 69,585 Total revenues $ 245,200 $ 303,46
Slide 32: Corporate and Other - Comparative Statements of Operations
Corporate and Other - Comparative Statements of Operations (unaudited) ($s in thousands) 6/30/2024 9/30/2024 12/31/2024 3/31/2025 6/30/2025 Revenues Lease Income 9,995 8,128 489 — $ — Other revenue 3,962 1,931 (189) 4 — Total revenues $ 13,957 $ 10,059 $ 300 $ 4 $ — Expenses Operating expenses 13,89
Slide 33: Appendix
Appendix Statement of Operations by Segment Comparative Statements of Operations Condensed Balance Sheets Reconciliation of Non-GAAP Measures Glossary
Slide 34: Condensed Balance Sheets
Condensed Balance Sheets (unaudited) ($s in thousands) June 30, 2025 December 31, 2024 Gross Property, Plant and Equipment (PP&E) $ 126,686 $ 115,867 Accumulated Depreciation on PP&E (15,802) (8,416) Net PP&E $ 110,484 $ 107,451 Gross Leasing Equipment 2,342,123 2,963,452 Accumulated Depreciation on
Slide 35: Appendix
Appendix Statement of Operations by Segment Comparative Statements of Operations Condensed Balance Sheets Reconciliation of Non-GAAP Measures Glossary
Slide 36: Adjusted EBITDA Reconciliation by Segment (unaudited)
Adjusted EBITDA Reconciliation by Segment (unaudited) For the Three Months Ended June 30, 2025 ($s in thousands) Aviation Leasing Aerospace Products Corporate and Other Eliminations Total Net income (loss) attributable to shareholders from continuing operations $ 106,431 $ 133,582 $ (73,389) $ (4,93
Slide 37: Adjusted EBITDA Reconciliation by Segment (unaudited)
Adjusted EBITDA Reconciliation by Segment (unaudited) For the Six Months Ended June 30, 2025 ($s in thousands) Aviation Leasing Aerospace Products Corporate and Other Eliminations Total Net income (loss) attributable to shareholders from continuing operations $ 183,457 $ 240,225 $ (160,164) $ (11,88
Slide 38: Notes to Non-GAAP Reconciliations - Adjusted EBITDA
Notes to Non-GAAP Reconciliations - Adjusted EBITDA ($s in thousands) (1) Total Includes the following items for the three months ended June 30, 2025 and 2024: (i) depreciation and amortization expense of $55,236 and $56,691, (ii) lease intangible amortization of $2,153 and $3,786 and (iii) amortiza
Slide 39: Notes to Non-GAAP Reconciliations - Adjusted EBITDA
Notes to Non-GAAP Reconciliations - Adjusted EBITDA ($s in thousands) (3) Total Excludes the profit elimination of $4,935 and $0 for the three months ended June 30, 2025 and 2024, respectively, for sales of aircraft to the 2025 Partnership, within the Aerospace segment. Excludes the profit eliminati
Slide 40: Appendix
Appendix Statement of Operations by Segment Comparative Statements of Operations Condensed Balance Sheets Reconciliation of Non-GAAP Measures Glossary
Slide 41: Glossary
Glossary Adjusted EBITDA In addition to net income (loss), the chief operating decision maker (“CODM”) utilizes Adjusted EBITDA as a key performance measure. Adjusted EBITDA is not a financial measure in accordance with U.S. generally accepted accounting principles (“U.S. GAAP”). This performance me