News — 2022

SMBC Aviation Capital results for the half year ended 30 September 2022

22/11/2022

Dublin, 22 November 2022: SMBC Aviation Capital, one of the world’s leading aircraft leasing companies, today announces its results [1] for the half year ended 30 September 2022

SMBC Aviation Capital delivers strong results for half year ended 30 September 2022, with upward trajectory in performance.

Financial Results – Half Year ended 30 September 2022 

  • Profit before tax of $134 million, up 43% on H1 FY21, driven by growing demand and strengthening economic fundamentals for both the airline and aircraft leasing sectors.
  • Expectation of continued improvement in performance in line with the ongoing recovery in the global airline sector, with strong fundamentals continuing into Q4 2022 and into 2023. 
  • 32 aircraft integrated into fleet during the half year from OEM orderbooks, sale and leasebacks and portfolio acquisitions from other lessors.
  • Rapid rebound in secondary trading market, with sale of 5 aircraft during H1 FY22, realising profits on disposal of $13.8 million. Agreements in place to trade a further 24 units as of September quarter end.  
  • Became the first aircraft leasing company to launch a carbon credits programme during the half year as part of wider commitment to support transition to sustainable aviation. 
  • Strong strategic alignment and support from shareholders, SMBC and Sumitomo Corporation, with $16.9 billion of debt and equity support, and an additional $1.36 billion to be provided at the time of the Goshawk acquisition. 
  • Raised $2.4 billion of funding since April, including a $1.7bn global syndicated banking transaction in September from a total of 13 banks, on favourable financial terms, further strengthening and diversifying funding position.
  • Total assets were $17.6 billion at 30 September 2022, with the portfolio comprised of over 700 owned, managed and committed aircraft. 

Commenting on the company’s performance, Aisling Kenny, CFO, SMBC Aviation Capital said:

“The global air travel sector continues to go from strength to strength through the recovery, with the reopening of much of the Asia Pacific region, driving even greater demand for our assets. Despite earlier concerns about macroeconomic headwinds, the strength of travel related spending and forward bookings, point toward a positive outlook for Q4 and the transition into 2023. 

Airlines are increasingly confident that the post-Covid recovery is being sustained and we expect to be able to capitalise on a similarly strong demand for aircraft trading.  We are planning to close the acquisition of Goshawk in the coming weeks, which will further strengthen our competitive position. 

Our strong shareholder support and diversified funding sources, further reinforced by over $2 billion raised from the global banking sector in recent months, will enable us to continue to deliver profitable long-term growth.” 

-ENDS-

MEDIA CONTACTS: 

Conor Irwin, SMBC Aviation Capital
+353 86 047 4343

Charles O’Brien / Richard Webster Smith, FGS Global 
+44 020 7251 3801

ABOUT SMBC AVIATION CAPITAL:
Headquartered in Dublin, Ireland, SMBC Aviation Capital is one of the world’s leading aircraft companies, with an owned, managed and committed fleet of over 700 aircraft. The company focuses on the most technologically advanced, fuel efficient and narrowbody aircraft types, providing customers across the globe with the aircraft they need to successfully grow their businesses. Established in 2001, the company was acquired in 2012 by a consortium comprising of two of Japan’s biggest companies SMFG and Sumitomo Corporation. For additional information, please visit SMBC Aviation Capital’s website at https://www.smbc.aero/

[1] The financial and non-financial metrics disclosed for the period relate to SMBC Aviation Capital’s Irish entity and its subsidiaries.

"Airlines are increasingly confident that the post-Covid recovery is being sustained and we expect to be able to capitalise on a similarly strong demand for aircraft trading.  We are planning to close the acquisition of Goshawk in the coming weeks, which will further strengthen our competitive position."

Aisling Kenny, Chief Financial Officer, SMBC Aviation Capital

Media Enquiries:

Conor Irwin/Orla Benson
SMBC Aviation Capital

+353 1 859 9425
+353 1 859 9067
Email

Charles O'Brien
Partner
Finsbury

+44 0 7825 043 656

Email