Willis Lease Finance(WLFC) 2023 Earnings Summary
Bullish Points:
1. Total revenue for Q2 2023 increased to $108.996 million from $78.075 million in Q2 2022.
2. Net income for the quarter was $13.816 million, compared to $5.908 million in the same period in 2022.
3. Lease rent revenue increased to $54.416 million from $36.704 million in the same period in 2022.
4. Maintenance reserve revenue increased to $35.415 million from $24.245 million in the same period in 2022.
5. Net income for six months ended June 30, 2023 was $18,210,000, compared to a net loss of $15,293,000 in the same period in 2022.
6. The company was in full compliance with all financial covenant requirements at June 30, 2023.
7. Gain on sale of leased equipment increased by 795.8% to $4.5 million for the three months ended June 30, 2023.
Bearish Points:
1. Cash, cash equivalents, and restricted cash at the end of the period for six months ended June 30, 2023 decreased to $55,012,000 from $73,840,000 in the same period in 2022.
2. Total debt obligations as of June 30, 2023, are $1,827,021,000.
3. General and administrative expenses increased by 87.6% to $38.3 million for the three months ended June 30, 2023, mainly due to increased personnel costs.
4. Net finance costs increased by 19.1% to $19.1 million for the three months ended June 30, 2023, due to higher levels of floating rate debt and an increase in LIBOR.
5. The company is exposed to currency devaluation risk, as a significant portion of lease rent revenues come from non-United States domiciled lessees.
In summary, Willis Lease Finance (WLFC) has shown significant growth in revenue and net income for the quarter and six months ended June 30, 2023. However, the company also faces challenges such as increased expenses, higher debt obligations, and currency devaluation risk. For more information, you can read the original text of Willis Lease Finance's financial report: https://www.sec.gov/Archives/edgar/data/1018164/000101816423000017/wlfc-20230630.htm
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.
