Latest news with #aircraftleasing
Zawya
4 days ago
- Business
- Zawya
Dubai Aerospace signs $300mln 3-year term loan
Dubai Aerospace Enterprise Ltd. has signed a $300 million three-year unsecured term loan with Bank of China (Dubai) Branch, Bank of China Limited, London Branch and Bank of China (Hong Kong) Limited. The aircraft lessor, which is fully owned by Investment Corporation of Dubai, will use the loan for general corporate purposes and future financing needs of the business. Firoz Tarapore, CEO of DAE, said the transaction with BOC 'provides us with additional liquidity to support our ongoing commitment to meeting the needs of our airline customers while maintaining a modern and efficient fleet'. In March 2024, DAE signed $420 million 5-year unsecured term loan with China Construction Bank (DIFC Branch) and China Construction Bank (Asia) Corporation Limited. As of March 31, 2025, the company had a total debt of $8 billion, of which 80% was unsecured. Net debt-to-equity ratio was 2.43x. (Writing by Brinda Darasha; editing by Seban Scaria)
Yahoo
23-05-2025
- Business
- Yahoo
Citi Upgrades Air Lease (AL) stock, Lifts PT to $68
On May 20, Citi analyst Stephen Trent revised the outlook on Air Lease Corporation (NYSE:AL)'s stock, upgrading the rating from 'Neutral' to 'Buy' and raising the price objective from $45.00 to $68.00. The upgrade comes after Air Lease Corporation (NYSE:AL), which is an aircraft leasing company, adopted a new capital allocation strategy, which focuses on shareholder value via potential share buybacks and acquisitions. Therefore, the company will not be focusing on its traditional approach of organic growth with the help of direct purchases from aerospace manufacturers. The analyst highlighted that the company will continue to explore such new avenues. A passenger jet taking off, representing the company's commitment to air transportation services. Overall, the change in stance exhibits the firm's confidence in Air Lease Corporation (NYSE:AL)'s new direction and its ability to improve shareholder returns. Overall, the company continues to benefit from strong global aircraft demand in leasing and aircraft trading amidst persistent aircraft supply constraints. Air Lease Corporation (NYSE:AL) has had a healthy Q1 2025, thanks to fleet expansion, strong sales gains, and insurance settlements related to its aircraft in Russia. While we acknowledge the potential of AL to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than AL and that has 100x upside potential, check out our report about this cheapest AI stock. READ NEXT: and 11 Unstoppable Growth Stocks to Invest in Now Disclosure: None. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Irish Times
22-05-2025
- Business
- Irish Times
SMBC profits soar past €1bn
Aircraft lessor SMBC Aviation Capital's profits soared to $1.2 billion (€1.06 billion) in the 12 months to March 31st as it settled lawsuits with insurers over planes lost to Russia. Excluding those deals, the Irish company said on Thursday that its main business, buying planes and leasing them to global airlines, grew pretax profits 22 per cent to a record $563 million over the same period. Dublin-headquartered SMBC earned $2 billion in rent from its leased aircraft during its last financial year, which ended on March 31st, $59 million more than during the previous 12 months, the company reported. Settlements of lawsuits against insurers over aircraft lost following Russia's invasion of Ukraine came to $654 million, further boosting the company's headline profit. READ MORE Those deals, for $630 million last year and $24 million recently, mean SMBC has recovered $1.41 billion of the $1.61 billion that the company calculated it had lost as a consequence of Russia's invasion of Ukraine in February 2022. It agreed a $756 million settlement in its 2023 financial year, with Russian business, Insurance Company NSK, specifically on insurance and reinsurance policies covering jets leased Aeroflot, Russia's largest airline. 'We're at a critically low level of housing stock' for buyers and renters Listen | 33:06 SMBC is continuing with further litigation against insurers in the UK, alongside other companies in its industry. The company terminated leases with Russian airlines following the invasion of Ukraine to comply with sanctions, leading to the loss of 34 aircraft. SMBC was one of several lessors, including Irish rivals AerCap and Avolon, who lost commercial jets as a result of the war and sanctions. These businesses have all recovered large sums of cash following litigation sparked by many insurers' refusal to pay out. Peter Barrett, SMBC chief executive, said its results showed the underlying strength of its business. He added that airlines continued to 'turn to SMBC Aviation Capital in even greater numbers', positioning it to grow profits further. Aisling Kenny, chief financial officer, said the company continued to cash in on positive demand, signing $4 billion in new long-term agreements to lease aircraft to airlines. She noted that SMBC took advantage of a 'robust aircraft trading market' and got further cash settlements of its Russian insurance litigation. The company's figures show that its fleet came to 510 aircraft at the end of March this year. SMBC completed 196 transactions during its last financial year, to buy, lease or sell aircraft, the company noted. Manufacturers delivered $3.3 billion worth of planes to the Irish company during the year. SMBC buys aircraft from manufacturers Airbus and Boeing and leases them to airlines worldwide. Its shareholders are Japan's Sumitomo Mitsui Financial Group and Sumitomo Corporation. The company is one of the top three aircraft lessors in the world and one of several leading players in its industry based in the Republic. A report published this week by aviation industry investor, Irelandia, stated that Irish-based lessors control 37 per cent of all commercial aircraft currently flying in the world. Global demand for commercial jets continues to grow.
Reuters
22-05-2025
- Business
- Reuters
SMBC proceeds from Russian jet insurance settlements hit $1.4 billion
DUBLIN, May 22 (Reuters) - Aircraft lessor SMBC Aviation Capital has booked a further $654 million in proceeds from insurance settlements over the past year related to jets stranded in Russia following Western sanctions, the Irish-headquartered company said on Thursday. That brought SMBC's total recoveries from claims following the sanctions over Moscow's war in Ukraine to $1.41 billion. It was one of six lessors that ended an Irish lawsuit against their insurers last month following a series of settlements. SMBC recorded an impairment of $1.6 billion in 2022 to cover the full financial impact of having 34 jets stuck in Russia after the sanctions forced the termination of all Russian leases. The world's third-largest aircraft lessor gave the update in its full year results to the end of March, which showed pretax profits rose 22% year-on-year to a company record $563 million, excluding the benefit of the insurance settlements. SMBC, owned by a consortium including Japan's Sumitomo Corp (8053.T), opens new tab and Sumitomo Mitsui Financial Group (8316.T), opens new tab, said its core lease rental revenue grew by 3% to $2 billion and its asset sales hit $1.9 billion following the sale of 48 older aircraft.
Bloomberg
16-05-2025
- Business
- Bloomberg
VietJet Misses First Court-Ordered Payment, London Creditor Says
VietJet Aviation JSC failed to make a $60.5 million payment to FitzWalter Capital Ltd. 's aircraft leasing unit by a court-imposed deadline, the London buyout firm said. FitzWalter Capital Aviation Services Ltd. can 'confirm that VietJet failed to make the payment as ordered by the English High Court,' Chief Executive Officer Jonty Nel said in an emailed statement.
