Aircastle Limited Reports 26.7% Revenue Growth and 206.5% Net Income Increase for Quarter Ending May 31, 2025

Aircastle Limited reported significant financial performance for the three months ending May 31, 2025, with total revenues reaching $259.8 million, a 26.7% increase from $205.2 million in the same period last year. The company’s net income also saw a substantial rise, amounting to $49.3 million compared to $16.1 million in the prior year, reflecting a 206.5% increase. This growth was primarily driven by a $20.5 million increase in lease rental revenue, attributed to the acquisition of 61 aircraft since March 1, 2024, and a notable gain of $30.3 million from the sale of aircraft and other flight equipment.

In terms of operational metrics, Aircastle's fleet consisted of 272 aircraft leased to 78 airline customers across 47 countries, with a net book value of $8.1 billion as of May 31, 2025. The weighted average age of the fleet was reported at 8.9 years, with a utilization rate exceeding 99%. The company also made strategic moves by purchasing 12 aircraft for $464.8 million during the quarter and selling 14 aircraft for net proceeds of $226.8 million. As of July 1, 2025, Aircastle had commitments to purchase an additional 22 aircraft for $1.1 billion.

The company’s balance sheet showed total assets of $8.6 billion, up from $8.5 billion at the end of February 2025. Total liabilities increased to $6.1 billion, primarily due to higher borrowings from unsecured financings, which rose to $4.9 billion. Shareholders' equity also grew to $2.5 billion, reflecting retained earnings of $165.1 million, up from $146.6 million in the previous quarter. The increase in equity was supported by the strong net income reported for the quarter.

Aircastle's management highlighted the favorable operating environment for airlines, driven by strong global passenger demand and ongoing supply chain challenges faced by aircraft manufacturers. The company anticipates continued growth in the commercial aviation sector, with expectations for the global fleet to expand at an average annual rate of 2% to 3%. Looking ahead, Aircastle remains focused on maintaining conservative leverage and is well-positioned to capitalize on new investment opportunities as they arise.

As of July 1, 2025, Aircastle reported total liquidity of $2.6 billion, which includes $2.0 billion in undrawn credit facilities and $0.5 billion in projected operating cash flows. The company expressed confidence in its ability to meet contractual obligations over the next twelve months, supported by strong cash flows from operations and ongoing aircraft sales.