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Sep 30, 2022

ATSG Q3 2022 Earnings Report

ATSG reported strong third quarter results driven by top-line growth, increased freighter leases, and reaffirmed adjusted EBITDA guidance.

Key Takeaways

Air Transport Services Group (ATSG) reported an 11% increase in revenues to $517 million for the third quarter of 2022, compared to the third quarter of 2021. GAAP earnings were $50 million, or $0.68 per share. Adjusted Earnings Per Share increased to $0.60, and Adjusted EBITDA increased to $163 million.

Revenues increased by 11% compared to the previous year.

GAAP Earnings were $50 million, or $0.68 per share.

Adjusted Earnings Per Share increased three cents per share to $0.60.

Adjusted EBITDA increased by $10 million to $163 million.

Total Revenue
$517M
Previous year: $466M
+10.9%
EPS
$0.6
Previous year: $0.6
+0.0%
Adjusted EBITDA
$163M
Gross Profit
$99M
Previous year: $115M
-13.7%
Cash and Equivalents
$54.5M
Previous year: $49.8M
+9.4%
Free Cash Flow
-$6.29M
Previous year: -$5.83M
+7.8%
Total Assets
$3.53B
Previous year: $3.22B
+9.4%

ATSG

ATSG

ATSG Revenue by Segment

Forward Guidance

ATSG expects its Adjusted EBITDA for 2022 to meet or exceed $640 million, up nearly $100 million from 2021.

Positive Outlook

  • Delivery of the last three of eight dry leases of 767-300 newly converted freighters CAM will complete this year.
  • Addition of the last three of seven customer-provided 767 freighters that our airlines will operate under CMI arrangements.
  • Achieving projected levels of peak-season flying.
  • Demand for express-package network assets and flight operations remains strong.
  • Anticipate growth in ATSG’s cash flow through the current economic cycle and beyond.

Revenue & Expenses

Visualization of income flow from segment revenue to net income