Air Lease (AL) Q4 2024 earnings summary

Executive summary

• Achieved record revenues in 2024, with Q4 revenue of $713 million and full-year revenue of $2.73 billion, driven by $5 billion in aircraft purchases and $1.7 billion in aircraft sales.

• Ended 2024 with 489 owned and 60 managed aircraft, $32.3 billion in total assets, and $29.5 billion in committed minimum future rental payments.

• Maintained one of the youngest fleets in the industry with an average age of 4.6 years and 100% utilization in Q4 2024.

• 100% of orderbook through 2026 and 85% through 2027 placed on long-term leases, providing strong forward visibility.

• Aircraft shortages and strong demand are supporting higher lease rates and valuations.

Financial highlights

• Q4 2024 revenue: $713 million, including $639 million rental revenue and $74 million from sales/trading.

• Full-year 2024 revenue: $2.73 billion (up 1.8% YoY); rental revenues: $2.49 billion; aircraft sales, trading, and other revenues: $246 million.

• Q4 net income attributable to common stockholders: $93 million ($0.83/diluted share); FY net income: $372 million ($3.33/diluted share).

• Adjusted net income before income taxes for 2024: $574 million; adjusted pre-tax return on common equity: 8.9%.

• Liquidity at year-end: $8.1 billion, including $0.5 billion in cash and $7.6 billion in undrawn revolver.

Outlook and guidance

• 2025 aircraft deliveries expected at $3–3.5 billion, down from $5 billion in 2024.

• 100% of expected orderbook deliveries through 2026 are placed on long-term leases.

• Debt funding needs for 2025 anticipated at $2 billion, including refinancing.

• Lease yields expected to rise steadily over the next several years as COVID-era leases roll off.

• Adjusted margins in 2025 expected to remain at 2024 levels due to elevated interest rates.