AerSale (NASDAQ:ASLE) Misses Q1 Revenue Estimates, Stock Drops 10.7%

Yahoo

08-05-2025

Aerospace and defense company AerSale (NASDAQ:ASLE) fell short of the market's revenue expectations in Q1 CY2025, with sales falling 27.4% year on year to $65.78 million. Its non-GAAP loss of $0.05 per share was significantly below analysts' consensus estimates.
Is now the time to buy AerSale? Find out in our full research report.
AerSale (ASLE) Q1 CY2025 Highlights:
Revenue: $65.78 million vs analyst estimates of $89.29 million (27.4% year-on-year decline, 26.3% miss)
Adjusted EPS: -$0.05 vs analyst estimates of $0.09 (significant miss)
Adjusted EBITDA: -$1.70 million vs analyst estimates of $10.08 million (-2.6% margin, significant miss)
Operating Margin: -10.1%, down from 5.2% in the same quarter last year
Free Cash Flow was -$47.63 million compared to -$25.05 million in the same quarter last year
Market Capitalization: $329.9 million
Company Overview
Providing a one-stop shop that integrates multiple services and product offerings, AerSale (NASDAQ:ASLE) delivers full-service support to mid-life commercial aircraft.
Sales Growth
Reviewing a company's long-term sales performance reveals insights into its quality. Any business can put up a good quarter or two, but many enduring ones grow for years. AerSale's demand was weak over the last five years as its sales fell at a 2% annual rate. This was below our standards and suggests it's a low quality business.
AerSale Quarterly Revenue
We at StockStory place the most emphasis on long-term growth, but within industrials, a half-decade historical view may miss cycles, industry trends, or a company capitalizing on catalysts such as a new contract win or a successful product line. AerSale's recent performance shows its demand remained suppressed as its revenue has declined by 6.2% annually over the last two years.
AerSale Year-On-Year Revenue Growth
AerSale also breaks out the revenue for its most important segments, Products and Services, which are 56.4% and 32.2% of revenue. Over the last two years, AerSale's Products revenue averaged 23.7% year-on-year declines while its Services revenue averaged 7.5% declines.
This quarter, AerSale missed Wall Street's estimates and reported a rather uninspiring 27.4% year-on-year revenue decline, generating $65.78 million of revenue.
Looking ahead, sell-side analysts expect revenue to grow 23.5% over the next 12 months, an improvement versus the last two years. This projection is eye-popping and suggests its newer products and services will catalyze better top-line performance.
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