SMBC Aviation Capital results for the year ended 31 March 2019

Record Revenue and Profitability Growth

Dublin, 11 June 2019: SMBC Aviation Capital (or the “Company”), one of the world’s leading aircraft leasing companies, today announces its results for the financial year ended 31 March 2019.

Key Highlights

  • Profit before tax a record $344 million for the financial year, an increase of almost 8% y/y
  • Record $1.1 billion of overall income from continuing operations
  • Continued focus on active portfolio management with the placement of 47 aircraft from our order book, the sale and leaseback of 40 aircraft and the sale of 30 aircraft
  • New technology aircraft now comprises 37% of our portfolio up from 22% in 2018 and 11% in 2017
  • Total aircraft assets stood at $11.9 billion (up from $10.3 billion)
  • Major aircraft order in December 2018 for 65 A320 NEO family aircraft for delivery between 2023-2025 to meet our future growth requirements
  • One of the lowest weighted average age portfolios in the industry of 4.16 years
  • S&P upgrade of credit rating to A-, the highest rating in the aircraft leasing industry
  • Strong shareholder confidence backed by recent $1 billion capital injection
  • A further $500 million bond issuance in the year

Commenting on the company’s performance, Peter Barrett, CEO, SMBC Aviation Capital said:

"This was a record year for revenue and profitability driven by our highly experienced and dedicated team who focused on delivering a positive customer experience for our airline and trading partners across the globe.

We maintained a well-balanced and managed aircraft portfolio which was supported by the announcement in December 2018 that we will take delivery of an additional 65 new A320 NEO aircraft between 2023 and 2025.This highlights our commitment to future growth with the most technologically advanced and fuel-efficient models in line with our customers’ specifications across the globe.

The year was also marked by our ability to maintain a robust and flexible balance sheet. Confidence in our strategy was evidenced by our shareholders following a substantial capital injection of $1 billion and by the market in our ratings upgrade which makes us the highest rated dedicated aircraft leasing companies in our sector.

We have also spent considerable time planning for the future, working closely with our customers to anticipate their needs. This is enabling us to differentiate ourselves from other lessors in the market and will serve to insulate us from any future challenges and, capitalise on opportunities that may arise.”

-ENDS-

MEDIA CONTACTS:

Orla Benson, SMBC Aviation Capital, Mobile: +353 86 047 4343

Ben Griffiths Powerscourt: +44 7753 464 637

ABOUT SMBC AVIATION CAPITAL:

SMBC Aviation Capital is one of the world’s leading aircraft lessors, with 86 airline customers in 40 countries. At 31 March 2019, the company owns, manages and is committed to purchase 729 aircraft. 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 further information go to 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

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Conor Irwin/Orla Benson
SMBC Aviation Capital

+353 1 859 9425

+353 1 859 9067

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Rob Greening /Jack Hickey
Powerscourt

+44 0 207 250 1446
+353 1 669 4633

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