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Mar 31

AerCap Q1 2025 Earnings Report

AerCap reported strong financial results for Q1 2025, increasing EPS guidance and announcing a new share repurchase program.

Key Takeaways

AerCap posted robust Q1 2025 results, driven by solid demand in aviation leasing and asset sales. Net income reached $643 million with adjusted EPS of $3.68, and total revenue rose slightly year-over-year. The company raised full-year EPS guidance and approved a $500 million share repurchase program.

Net income was $643 million and adjusted net income was $679 million.

Revenue increased to $2.077 billion, driven by stronger asset sales and other income.

EPS was $3.48; adjusted EPS was $3.68 for the quarter.

AerCap raised its full-year EPS guidance and launched a new $500 million share repurchase program.

Total Revenue
$2.08B
Previous year: $1.93B
+7.4%
EPS
$3.68
Previous year: $3.29
+11.9%
Return on equity
15%
Adj. return on equity
16%
Book value/share
$97.4
Previous year: $87.5
+11.3%
Gross Profit
$1.24B
Previous year: $1.15B
+8.0%
Cash and Equivalents
$1.27B
Previous year: $1.49B
-14.6%
Free Cash Flow
-$1.17B
Previous year: -$256M
+355.7%
Total Assets
$72.6B
Previous year: $71.1B
+2.0%

AerCap

AerCap

AerCap Revenue by Segment

Forward Guidance

AerCap raised its full-year 2025 adjusted EPS guidance to a range of $9.30 to $10.30, citing a strong demand environment and successful asset sales.

Positive Outlook

  • Raised FY25 adjusted EPS guidance to $9.30 - $10.30.
  • Strong demand for aviation assets continues to drive performance.
  • Unlevered gain-on-sale margin reached 35% in Q1 2025.
  • Received a Fitch Ratings upgrade to BBB+, aligned across all agencies.
  • New $500 million share repurchase program introduced.

Challenges Ahead

  • Cash and equivalents decreased to $1.27 billion from $1.4 billion.
  • Maintenance rents declined from $179 million to $146 million YoY.
  • Leasing expenses remained elevated at $81 million despite improvements.
  • SG&A expenses stayed high at $113 million.
  • Revenue growth was modest at just 3% YoY.

Revenue & Expenses

Visualization of income flow from segment revenue to net income