Willis Lease Finance Corporation

Willis Lease Finance Corporation reported second-quarter earnings per share of $1.31, a 53.4% decline from $2.81 a year earlier, as lower maintenance reserve revenue weighed on results. Revenues slipped 0.8% to $194 million, while net income attributable to common shareholders fell 51.2% to $28.7 million, though the prior-year period included a $43 million gain from the sale of the BAML business. On a normalized basis excluding that gain, net income increased 80% and EPS rose 72%, with income from operations up 20.2% to $34 million and adjusted EBITDA up 4% to $120.7 million. Short-term maintenance reserve revenue dropped 22% to $39 million, reflecting fewer engines on short-term leases and lower flight activity on less fuel-efficient aircraft amid elevated fuel prices, while lease rent revenues rose 6.7% to $77.1 million. The company also highlighted a $32 million gain on sale of leased equipment, a 21% increase in assets under management to $4.4 billion, and post-quarter agreements including a $379.3 million acquisition of 12 aircraft and 13 engines.