Aircastle Limited (NYSE: AYR) has reported a second quarter 2017 net loss of USD (7.1) million, or USD (0.09) per diluted common share and adjusted net income of USD 2.4 million, or USD 0.03 per diluted common share, the company said.
The second quarter results included total lease rental and finance and sales-type lease revenues of USD 195.0 million, an increase of 8%, as compared to USD 180.3 million in the second quarter of 2016. The results also include USD 65.7 million of net aircraft impairment charges, including USD 13.5 million of related maintenance payments, and USD 5.1 million of separation and disability compensation paid to a former executive.
Total revenues were USD 223.5 million, an increase of USD 33.5 million, or 18%, from the previous year. An increase in lease rental and finance and sales-type lease revenue of USD 14.7 million and a USD 16.4 million rise in maintenance revenues accounted for most of the change.
The increase in lease rental and finance lease revenue in the second quarter was due to net fleet growth over the past year. During the second quarter of 2017, we recorded USD 28.9 million of maintenance revenue versus USD 12.5 million in the prior year, primarily driven by return compensation associated with several wide-body aircraft which transitioned during the quarter, and USD 13.5 million associated with one of the production freighter aircraft that we agreed to sell.
Aircastle Limited acquires, leases and sells commercial jet aircraft to airlines throughout the world. As of June 30, 2017, Aircastle owned and managed on behalf of its joint ventures 203 aircraft leased to 71 customers located in 38 countries.