Avolon’s profits climbed 17% to $161m in third quarter

Irish aircraft lessor had $6.3bn in cash and credit with declared dividend of $285m

Fine Gael TD Kate O’Connell (left), Taoiseach Leo Varadkar, John Higgins, president and chief commericial officer of Avolon, and CEO Dómhnal Slattery at the  opening of its global HQ in Ballsbridge. Photograph: Robbie Reynolds

Fine Gael TD Kate O’Connell (left), Taoiseach Leo Varadkar, John Higgins, president and chief commericial officer of Avolon, and CEO Dómhnal Slattery at the opening of its global HQ in Ballsbridge. Photograph: Robbie Reynolds

 

Profits at aircraft lessor Avolon rose 17 per cent to $161 million (€144m) in the three months ended September 30th, the Irish company said on Thursday.

Dublin-headquartered Avolon, which buys aircraft and leases them to airlines around the world, said revenue for the quarter grew 4 per cent to $654 million.

Net income was $161 million, a 17 per cent increase on the $138 million profit that Avolon earned during the same three-month period in 2018.

The value of its assets, which mostly consist of aircraft that it has leased out to airline customers, rose 1 per cent to $28.4 billion on September 30th.

Leases

Avolon either owned or managed 527 aircraft at the end of the quarter, while it had orders for 387 new planes. It completed 21 leases over the three months.

The company had $6.3 billion available in cash and credit that it had not drawn down. Avolon declared a dividend of $285 million.

Dómhnal Slattery, chief executive, described the quarter’s performance as strong. “Our investment grade rating continues to drive down the cost of our debt and further improve our already strong credit metrics,” he said.