Avation (AVAP) H2 2026 earnings summary

Executive summary

• Delivered profit after tax of $8.4 million for FY2026, marking a return to profitability and reversing a prior year loss.

• Net asset value (NAV) per share increased by 19.9% to $4.39 (USD/GBP 3.33).

• Declared a dividend of $0.015, a 50% increase year-over-year.

• Fleet comprised 33 aircraft leased to 18 airlines across 18 countries, with 59% narrow body by value.

• Successfully diversified customer base and added new clients, including Finnair and Cabo Verde.

Financial highlights

• Total income was $112.1 million, stable year-over-year, with $21.6 million from maintenance reserves and $6.9 million from end-of-lease compensation.

• Operating profit reached $64.3 million; underlying operating profit (excluding non-cash items) was just under $66 million.

• Net indebtedness reduced to $523.7 million, down $80 million from the prior year.

• Cash balances at $105 million, down $25 million due to maintenance and share buybacks.

• S&P upgraded credit rating from B- to B; Moody’s assigned B1; Fitch maintained B, all with stable outlook.

Outlook and guidance

• Continuing to take delivery of ATRs from the order book and place them with new customers.

• Focused on growing the narrow-body fleet via secondary market and sale-leasebacks.

• Preparing to transition or extend leases on four airBaltic A220s amid airBaltic’s Chapter 11 process.

• $100 million committed warehouse facility secured to support future growth.

• Orderbook includes 13 firm ATR 72-600s and 19 purchase rights, supporting growth through 2034.