Air Lease (NYSE: AL) reported Q3 EPS of $1.47, $0.41 better than the analyst estimate of $1.06. Revenue for the quarter came in at $494 million versus the consensus estimate of $506.28 million.

Third Quarter 2020 Results

• Revenues:
  • $494 million for the three months ended September 30, 2020, a decrease of 7.0%
  • $1.5 billion for the nine months ended September 30, 2020, an increase of 3.9%
• Diluted earnings per share:
  • $1.02 for the three months ended September 30, 2020, a decrease of 23.9%
  • $3.46 for the nine months ended September 30, 2020, a decrease of 5.7%
• Adjusted diluted earnings per share before income taxes:
  • $1.47 for the three months ended September 30, 2020, a decrease of 18.3%
  • $4.77 for the nine months ended September 30, 2020, a decrease of 4.2%
• Margin:
  • Pre-tax profit margin of 31.0% for the three months ended September 30, 2020, compared to 36.5% for the same period in 2019
  • Adjusted pre-tax profit margin of 33.8% for the three months ended September 30, 2020, compared to 38.4% for the same period in 2019
• Return on common equity:
  • Pre-tax return on common equity of 12.8% for the trailing twelve months ended September 30, 2020, compared to 14.3% for the trailing twelve months ended September 30, 2019
  • Adjusted pre-tax return on common equity of 13.9% for the trailing twelve months ended September 30, 2020, compared to 15.4% for the trailing twelve months ended September 30, 2019

“In spite of the difficulties facing the airline industry, ALC produced a solid quarter in terms of operating results, aircraft placements and lease collections. We have a diversified customer base, a young fleet and a strong balance sheet that makes us well-equipped to withstand current and forecasted headwinds. We are working closely with our airline customers around the world and our major suppliers to get through this period of industry stress,” said John L. Plueger, Chief Executive Officer and President.

“To successfully emerge from the downturn and prosper in the years beyond, airlines will need new aircraft, like those in our fleet; concurrently, fewer financing options are available to airlines, which presents ALC with additional business opportunities. We believe in our future, and accordingly, our board of directors authorized a share repurchase program of up to $100 million, as well as an increase in our quarterly common stock dividend to $0.16 per share, which represents the 8th increase and 32nd consecutive dividend payment in ALC’s history,” said Steven F. Udvar-Házy, Executive Chairman of the Board.

For earnings history and earnings-related data on Air Lease (AL) click here.