EX-99.1 2 ef20048218_ex99-1.htm EXHIBIT 99.1

Exhibit 99.1

 
PRESS RELEASE
 
FTAI Aviation Ltd. Reports First Quarter 2025 Results, Declares Dividend of $0.30 per Ordinary Share


 
NEW YORK, April 30, 2025 (GLOBE NEWSWIRE) – FTAI Aviation Ltd. (NASDAQ: FTAI) (the “Company” or “FTAI”) today reported financial results for the first quarter 2025. The Company’s consolidated comparative financial statements and key performance measures are attached as an exhibit to this press release.
 
Financial Overview
 
(in thousands, except per share data)
 
Selected Financial Results
   
Q1’25
 
Net Income Attributable to Shareholders
 
$
89,944
 
Basic Earnings per Ordinary Share
 
$
0.88
 
Diluted Earnings per Ordinary Share
 
$
0.87
 
Adjusted EBITDA(1)
 
$
268,558
 
 
   

          (1)  For definitions and reconciliations of non-GAAP measures, please refer to the exhibit to this press release.

First Quarter 2025 Dividends
 
On April 30, 2025, the Company’s Board of Directors (the “Board”) declared a cash dividend on our ordinary shares of $0.30 per share for the quarter ended March 31, 2025, payable on May 23, 2025 to the holders of record on May 16, 2025.
 
Additionally, on April 30, 2025, the Board declared cash dividends on its Fixed-Rate Reset Series C Cumulative Perpetual Redeemable Preferred Shares (“Series C Preferred Shares”) and Fixed-Rate Reset Series D Cumulative Perpetual Redeemable Preferred Shares (“Series D Preferred Shares”) of $0.51563 and $0.59375 per share, respectively, for the quarter ended March 31, 2025, payable on May 19, 2025 to the holders of record on May 12, 2025.
 
Business Highlights
 

Net Income Attributable to Shareholders of $89.9 million.

Generated $131 million of Aerospace Products Adjusted EBITDA(1) at a margin of 36%.

FTAI’s Module Factory now has over 100 customers worldwide.

98 aircraft owned or under letters of intent to be acquired by FTAI’s inaugural Strategic Capital Initiative 2025 partnership as of March 31, 2025.

(1)  For definitions and reconciliations of non-GAAP measures, please refer to the exhibit to this press release.

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Additional Information
 
For additional information that management believes to be useful for investors, please refer to the presentation posted on the Investor Center section of the Company’s website, https://www.ftaiaviation.com/, and the Company’s Annual Report on Form 10-K and Quarterly Report on Form 10-Q, when available on the Company’s website. Nothing on the Company’s website is included or incorporated by reference herein.
 
Conference Call
 
In addition, management will host a conference call on Thursday, May 1, 2025 at 8:00 A.M. Eastern Time. The conference call may be accessed by registering via the following link https://register-conf.media-server.com/register/BIffe9c7ca08aa49d4bf442b45b495edf6. Once registered, participants will receive a dial-in and unique pin to access the call.
 
A simultaneous webcast of the conference call will be available to the public on a listen-only basis at https://www.ftaiaviation.com/. Please allow extra time prior to the call to visit the site and download the necessary software required to listen to the internet broadcast.
 
A replay of the conference call will be available after 11:30 A.M. on Thursday, May 1, 2025 through 11:30 A.M. on Thursday, May 8, 2025 on https://ir.ftaiaviation.com/news-events/presentations/.
 
The information contained on, or accessible through, any websites included in this press release is not incorporated by reference into, and should not be considered a part of, this press release.
 
About FTAI Aviation Ltd.
 
FTAI owns and maintains commercial jet engines with a focus on CFM56 and V2500 engines. FTAI’s propriety portfolio of products, including the Module Factory and a joint venture to manufacture engine PMA, enables it to provide cost savings and flexibility to our airline, lessor, and maintenance, repair, and operations customer base. Additionally, FTAI owns and leases jet aircraft which often facilitates the acquisition of engines at attractive prices. FTAI invests in aviation assets and aerospace products that generate strong and stable cash flows with the potential for earnings growth and asset appreciation.
 
Cautionary Note Regarding Forward-Looking Statements
 
Certain statements in this press release may constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, the ability to close on any aircraft under letters of intent (LOI). These statements are based on management’s current expectations and beliefs and are subject to a number of trends and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements, many of which are beyond the Company’s control. The Company can give no assurance that its expectations will be attained and such differences may be material. Accordingly, you should not place undue reliance on any forward-looking statements contained in this press release. For a discussion of some of the risks and important factors that could affect such forward-looking statements, see the sections entitled “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in the Company’s most recent Annual Report on Form 10-K and Quarterly Reports on Form 10-Q, which are available on the Company’s website (www.ftaiaviation.com). In addition, new risks and uncertainties emerge from time to time, and it is not possible for the Company to predict or assess the impact of every factor that may cause its actual results to differ from those contained in any forward-looking statements. Such forward-looking statements speak only as of the date of this press release. The Company expressly disclaims any obligation to release publicly any updates or revisions to any forward-looking statements contained herein to reflect any change in the Company’s expectations with regard thereto or change in events, conditions, or circumstances on which any statement is based. This release shall not constitute an offer to sell or the solicitation of an offer to buy any securities.
 
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For further information, please contact:
 
Alan Andreini
Investor Relations
FTAI Aviation Ltd.
(646) 734-9414
aandreini@ftaiaviation.com

Media
 
Tim Lynch / Aaron Palash / Kelly Sullivan
Joele Frank, Wilkinson Brimmer Katcher
(212) 355-4449

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Exhibit - Financial Statements
FTAI AVIATION LTD.
CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited)
(Dollar amounts in thousands, except share and per share data)

   
Three Months Ended March 31,
 
   
2025
   
2024
 
Revenues
           
Aerospace products revenue (1)
 
$
365,063
   
$
189,057
 
Lease income
   
68,471
     
53,240
 
Maintenance revenue
   
49,607
     
45,790
 
Asset sales revenue
   
18,939
     
38,607
 
Total revenues
   
502,080
     
326,694
 
                 
Expenses
               
Cost of sales
   
248,714
     
142,804
 
Operating expenses
   
32,438
     
25,317
 
General and administrative
   
3,116
     
3,683
 
Acquisition and transaction expenses
   
7,292
     
6,179
 
Management fees and incentive allocation to affiliate
   
     
4,895
 
Depreciation and amortization
   
59,562
     
49,920
 
Asset impairment
   
     
962
 
Total expenses
   
351,122
     
233,760
 
                 
Other (expense) income
               
Interest expense
   
(62,040
)
   
(47,707
)
Equity in losses of unconsolidated entities (2)
   
(7,614
)
   
(667
)
Other income (3)
   
43,941
     
634
 
Total other expense
   
(25,713
)
   
(47,740
)
Income before income taxes
   
125,245
     
45,194
 
Provision for income taxes
   
22,859
     
5,572
 
Net income
   
102,386
     
39,622
 
Less: Dividends on preferred shares
   
6,115
     
8,335
 
Less: Loss on redemption of preferred shares
   
6,327
     
 
Net income attributable to shareholders
 
$
89,944
   
$
31,287
 
                 
Earnings per share:
               
Basic
 
$
0.88
   
$
0.31
 
Diluted
 
$
0.87
   
$
0.31
 
                 
Weighted average shares outstanding:
               
Basic
   
102,552,436
     
100,245,905
 
Diluted
   
103,159,051
     
100,960,065
 


(1) Includes revenue of $100,638 and $0 for the three months ended March 31, 2025 and 2024, respectively, for sales to the 2025 Partnership.
 
(2) Includes the intra-entity profit elimination of $(6,950) and $0 for the three months ended March 31, 2025 and 2024, respectively, for sales to the 2025 Partnership within the Aerospace Products segment.
 
(3) Includes gain on sale of $10,870 and $0 for the three months ended March 31, 2025 and 2024, respectively, for sales to the 2025 Partnership within the Aviation Leasing segment.

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FTAI AVIATION LTD.
CONSOLIDATED BALANCE SHEETS
(Dollar amounts in thousands, except share and per share data)
   
(Unaudited)
       
   
March 31, 2025
   
December 31, 2024
 
Assets
           
Current Assets
           
Cash and cash equivalents
 
$
112,133
   
$
115,116
 
Accounts receivable, net (1)
   
223,504
     
150,823
 
Inventory, net
   
645,163
     
551,156
 
Assets held for sale
   
465,725
     
 
Other current assets (2)
   
423,336
     
408,923
 
Total current assets
   
1,869,861
     
1,226,018
 
Leasing equipment, net
   
1,989,367
     
2,373,730
 
Property, plant, and equipment, net
   
108,054
     
107,451
 
Investments
   
31,400
     
19,048
 
Intangible assets, net
   
16,036
     
42,205
 
Goodwill
   
61,070
     
61,070
 
Other non-current assets
   
192,356
     
208,430
 
Total assets
 
$
4,268,144
   
$
4,037,952
 
                 
Liabilities
               
Current Liabilities
               
Accounts payable
 
$
110,802
   
$
69,119
 
Liabilities held for sale
   
76,496
     
 
Accrued liabilities
   
142,098
     
96,910
 
Current maintenance deposits
   
33,748
     
62,552
 
Current security deposits
   
19,557
     
18,100
 
Other current liabilities
   
91,061
     
100,565
 
Total current liabilities
   
473,762
     
347,246
 
Long-term debt, net
   
3,642,527
     
3,440,478
 
Non-current maintenance deposits
   
25,510
     
44,179
 
Non-current security deposits
   
13,429
     
26,830
 
Other non-current liabilities
   
84,583
     
97,851
 
Total liabilities
 
$
4,239,811
   
$
3,956,584
 
                 
Commitments and contingencies
               
                 
Equity
               
Ordinary shares ($0.01 par value per share; 2,000,000,000 shares authorized; 102,555,975 and 102,550,975 shares issued and outstanding as of March 31, 2025 and December 31, 2024, respectively)
 
$
1,026
   
$
1,026
 
Preferred shares ($0.01 par value per share; 200,000,000 shares authorized; 6,800,000 and 11,740,000 shares issued and outstanding as of March 31, 2025 and December 31, 2024, respectively)
   
68
     
117
 
Additional paid in capital
   
(2,044
)
   
153,328
 
Retained earnings (accumulated deficit)
   
29,283
     
(73,103
)
Shareholders’ equity
   
28,333
     
81,368
 
Total liabilities and equity
 
$
4,268,144
   
$
4,037,952
 


(1) Includes accounts receivable from the 2025 Partnership of $69,140 and $0 as of March 31, 2025 and December 31, 2024, respectively.
 
(2) Includes receivables from the 2025 Partnership of $34,110 and $0 as of March 31, 2025 and December 31, 2024, respectively.

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Key Performance Measures
 
In addition to net income (loss), the Chief Operating Decision Maker (“CODM”) utilizes Adjusted EBITDA as a key performance measure.
 
Adjusted EBITDA provides the CODM with the information necessary to assess operational performance, as well as make resource and allocation decisions. Adjusted EBITDA is defined as net income (loss) attributable to shareholders, adjusted (a) to exclude the impact of provision for (benefit from) income taxes, equity-based compensation expense, acquisition and transaction expenses, losses on the modification or extinguishment of debt and preferred shares and capital lease obligations, changes in fair value of non-hedge derivative instruments, asset impairment charges, incentive allocations, depreciation and amortization expense, dividends on preferred shares and interest expense, internalization fee to affiliate, (b) to include the impact of our pro-rata share of Adjusted EBITDA from unconsolidated entities and (c) to exclude the impact of equity in earnings (losses) of unconsolidated entities and the non-controlling share of Adjusted EBITDA, if any.
 
The following table sets forth a reconciliation of net income attributable to shareholders to Adjusted EBITDA for the three  months ended March 31, 2025 and 2024:
 
   
Three Months Ended March 31,
   
 
(in thousands)
 
2025
   
2024
   
Change
 
Net income attributable to shareholders
 
$
89,944
   
$
31,287
   
$
58,657
 
Add: Provision for income taxes
   
22,859
     
5,572
     
17,287
 
Add: Equity-based compensation expense
   
4,889
     
510
     
4,379
 
Add: Acquisition and transaction expenses
   
7,292
     
6,179
     
1,113
 
Add: Losses on the modification or extinguishment of debt and preferred shares and capital lease obligations
   
6,327
     
     
6,327
 
Add: Changes in fair value of non-hedge derivative instruments
   
     
     
 
Add: Asset impairment charges
   
     
962
     
(962
)
Add: Incentive allocations
   
     
4,308
     
(4,308
)
Add: Depreciation and amortization expense (1)
   
68,387
     
59,122
     
9,265
 
Add: Interest expense and dividends on preferred shares
   
68,155
     
56,042
     
12,113
 
Add: Pro-rata share of Adjusted EBITDA from unconsolidated entities (2)
   
41
     
(548
)
   
589
 
Less: Equity in losses of unconsolidated entities (3)
   
664
     
667
     
(3
)
Less: Non-controlling share of Adjusted EBITDA
   
     
     
 
Adjusted EBITDA (non-GAAP)
 
$
268,558
   
$
164,101
   
$
104,457
 


(1) Includes the following items for the three months ended March 31, 2025 and 2024: (i) depreciation and amortization expense of $59,562 and $49,920, (ii) lease intangible amortization of $3,206 and $3,976 and (iii) amortization for lease incentives of $5,619 and $5,226, respectively.
 
(2) Includes the following items for the three months ended March 31, 2025 and 2024: (i) net loss of $664 and $667, (ii) depreciation and amortization expense of $158 and $119, and (iii) acquisition and transaction expenses of $547 and $0, respectively.
 
(3) Excludes the intra-entity profit elimination of $6,950 and $0 for the three months ended March 31, 2025 and 2024, respectively, for sales to the 2025 Partnership within the Aerospace Products segment.

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In addition, the following table sets forth a reconciliation of net income attributable to shareholders to Adjusted EBITDA for Aerospace Products for the three months ended March 31, 2025 and 2024:
 
   
Three Months Ended March 31,
   
 
(in thousands)
 
2025
   
2024
   
Change
 
Net income attributable to shareholders
 
$
106,643
   
$
66,433
   
$
40,210
 
Add: Provision for income taxes
   
19,375
     
2,539
     
16,836
 
Add: Equity-based compensation expense
   
155
     
70
     
85
 
Add: Acquisition and transaction expenses
   
1,132
     
246
     
886
 
Add: Losses on the modification or extinguishment of debt and preferred shares and capital lease obligations
   
     
     
 
Add: Changes in fair value of non-hedge derivative instruments
   
     
     
 
Add: Asset impairment charges
   
     
     
 
Add: Incentive allocations
   
     
     
 
Add: Depreciation and amortization expense
   
3,584
     
933
     
2,651
 
Add: Interest expense and dividends on preferred shares
   
     
     
 
Add: Pro-rata share of Adjusted EBITDA from unconsolidated entities (1)
   
169
     
(465
)
   
634
 
Less: Equity in (earnings) losses of unconsolidated entities
   
(113
)
   
521
     
(634
)
Less: Non-controlling share of Adjusted EBITDA
   
     
     
 
Adjusted EBITDA (non-GAAP)
 
$
130,945
   
$
70,277
   
$
60,668
 


(1) Includes the following items for the three months ended March 31, 2025 and 2024: (i) net income (loss) of $113 and $(521), and (ii) depreciation and amortization expense of $56 and $56, respectively.
 

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