NASDAQ$ASLE

AerSale Corporation · Q1 2024 earnings

Q1 2024 earnings · · Investor relations

Briefing

AerSale's Q1 2024 financial performance was marked by increased revenue and net income compared to the prior-year period.

AerSale Corporation reported a strong start to 2024 with increased revenue, driven by flight equipment sales, USM sales, and robust MRO revenue. Net income also saw a significant rise compared to the first quarter of 2023.

  • Revenue increased to $90.5 million, up from $78.3 million in the prior year period.
  • GAAP net income was $6.3 million, a substantial increase from $5 thousand in the prior year period.
  • Asset Management Solutions revenue increased to $59.3 million, compared to $48.4 million in the prior year period.
  • TechOps revenue increased by 4.8% to $31.3 million, driven by strong demand for MRO services.

Headline financials

Total Revenue

$90.5M

Previous: $78.3M+15.7%
EPS

$0.12

Previous: $0.07+71.4%
Adjusted EBITDA

$9M

Previous: $4.98M+80.7%
Gross Margin

31.8%

No prior period
Capital Expenditures

-$3.57M

Previous: -$1.48M-141.3%
Free Cash Flow

$2.7M

Previous: -$1.48M+283.1%
Net Income

$6.28M

Previous: $5K+125440.0%
Operating Income

$4.66M

Previous: -$833K+659.8%
Gross Profit

$28.8M

Previous: $24.4M+18.1%
Cash & Equivalents

$2.64M

Previous: $87.7M-97.0%
Total Assets

$572M

Previous: $537M+6.4%
Stock-Based Comp

$799K

No prior period

Revenue & EPS history

AerSale · Revenue · Quarterly

$90.5M

Q1 2024+15.7%vs Q1 2023
Beat estimate in 3 of 15 quarters(20%)
ActualEstimate

Revenue by segment

AerSale · $49.4M total across 2 segments · Q4 2020

  • Technical Operations
    $32M
  • Asset Management Solutions
    $17.4M-82.3%

Forward guidance

AerSale anticipates continued strong commercial demand due to a favorable operating environment and is actively acquiring feedstock to support future sales. The company has acquired $30.6 million of feedstock year-to-date and has letters of intent on an additional $51.7 million of inventory expected during the year.

Tailwinds

  • Commercial demand is expected to remain strong.
  • Company acquired $30.6 million of feedstock year-to-date.
  • Letters of intent on an additional $51.7 million of inventory expected during the year.
  • MRO facilities are benefiting from robust demand as airlines are operating at elevated capacity levels.
  • Positioned in the market to drive returns from available aircraft due to purpose-built end-to-end solution.

Headwinds

  • Feedstock availability remains pressured due to OEM delivery issues.
  • Cash used in operating activities was $21.5 million, mainly due to continued investment in inventory.
  • Revenues are likely to fluctuate from quarter-to-quarter and year-to-year based on flight equipment sales.
  • Company recognized a mark-to-market adjustment benefit of $2.0 million related to the private warrant liability.
  • Company incurred $0.8 million of stock-based compensation expenses within payroll expenses, and $0.5 million in facility relocation costs

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q1 2024

Historical avgQ1 2024

-4.0%

Avg return

Earnings day

-3.0%

Avg return

5 days after

-1.7%

Avg return

30 days after

43%

12 / 28 earnings

Positive

+16.5%

Q4 2024

Best reaction

-24.5%

Q2 2023

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-10.6%-11.7%
Q4 2025-11.7%-12.0%-15.7%
Q3 2025-11.9%-14.4%-5.2%
Q1 2025-12.7%-13.4%-17.2%
Q4 2024+16.5%+15.6%-4.0%
Q3 2024-7.7%-5.4%+4.0%
Q2 2024-9.7%-12.5%-14.9%
Q1 2024+10.0%+4.7%-6.4%
Q4 2023-24.0%-22.0%-23.0%
Q3 2023-13.1%-12.4%-3.4%
Q2 2023-24.5%-24.1%+7.7%
Q1 2023-4.0%-4.4%-7.4%
Q4 2022-15.1%-19.7%-19.2%
Q3 2022-7.3%-4.8%-15.0%
Q2 2022+11.2%+13.0%+18.9%
Q1 2022-2.0%-1.4%+4.6%
Q4 2021+2.5%+11.0%+6.2%
Q3 2021-19.2%-17.6%-16.8%
Q2 2021+4.1%+18.8%+22.7%
Q1 2021-2.0%-3.5%-2.3%
Q4 2020+16.3%+25.5%+25.4%
Q3 2020+2.1%+8.2%+17.9%
Q2 2020+0.7%-0.3%-0.6%
Q1 2020+0.0%+0.0%+1.4%
Q4 2018+0.2%+0.0%-1.0%
Q4 2019+0.2%+0.0%-1.0%
Q2 2019-0.7%-1.0%-1.4%
Q1 2019+0.0%+0.2%+0.3%

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