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Mar 31, 2021

AerSale Q1 2021 Earnings Report

Reported revenue increase driven by MRO services and flight equipment sales, with net income and adjusted EBITDA significantly up year-over-year.

Key Takeaways

AerSale Corporation reported a strong first quarter in 2021, marked by increased revenue, net income, and adjusted EBITDA. Revenue reached $58.4 million, including $13.8 million from flight equipment sales. Net income rose to $10.0 million, and adjusted EBITDA increased to $16.5 million, reflecting stronger margins from sales mix and cost reduction efforts.

Revenue increased to $58.4 million, including $13.8 million from flight equipment sales.

GAAP net income rose to $10.0 million, or 17.1% of sales, up from $1.1 million, or 1.9% of sales, in the first quarter of 2020.

Adjusted EBITDA increased to $16.5 million, or 28.3% of sales, compared to $9.8 million, or 17.2% of sales in the first quarter of 2020.

The company expects continued growth driven by strong MRO volume, sales from its Boeing 757 procurement program, contributions from its AerAware product launch, and the gradual recovery of commercial markets.

Total Revenue
$58.4M
Previous year: $57.1M
+2.3%
EPS
$0.23
Previous year: $28.6
-99.2%
Gross Profit
$19.8M
Previous year: $15.3M
+29.5%
Cash and Equivalents
$19.6M
Previous year: $138K
+14061.8%
Free Cash Flow
-$14.4M
Previous year: $20.5M
-170.2%
Total Assets
$400M
Previous year: $177M
+125.8%

AerSale

AerSale

Forward Guidance

AerSale expects revenue of $340–$360 million and adjusted EBITDA of $60-$70 million in 2021.

Positive Outlook

  • Increase in activity in the Company’s AMS segment.
  • Strong demand for its on-airport MRO services.
  • Accelerating demand in cargo and E-Commerce markets.
  • Increased requests for passenger-to-freighter conversions
  • Increased requests for other TechOps products and services.