Price | 42.50 | EPS | 5 | |
Shares | 113 | P/E | 9 | |
MCap | 4,814 | P/FCF | 5 | |
Net Debt | 13,563 | EBIT | 765 | |
TEV | 18,376 | TEV/EBIT | 24 | TTM 2019-09-30, in MM, except price, ratios |
10-Q | 2020-09-30 | Filed 2020-11-09 |
10-Q | 2020-06-30 | Filed 2020-08-06 |
10-Q | 2020-03-31 | Filed 2020-05-07 |
10-K | 2019-12-31 | Filed 2020-02-14 |
10-Q | 2019-09-30 | Filed 2019-11-07 |
10-Q | 2019-06-30 | Filed 2019-08-08 |
10-Q | 2019-03-31 | Filed 2019-05-09 |
10-K | 2018-12-31 | Filed 2019-02-21 |
10-Q | 2018-09-30 | Filed 2018-11-08 |
10-Q | 2018-06-30 | Filed 2018-08-09 |
10-Q | 2018-03-31 | Filed 2018-05-10 |
10-K | 2017-12-31 | Filed 2018-02-22 |
10-Q | 2017-09-30 | Filed 2017-11-09 |
10-Q | 2017-06-30 | Filed 2017-08-03 |
10-Q | 2017-03-31 | Filed 2017-05-04 |
10-K | 2016-12-31 | Filed 2017-02-23 |
10-Q | 2016-09-30 | Filed 2016-11-03 |
10-Q | 2016-06-30 | Filed 2016-08-04 |
10-Q | 2016-03-31 | Filed 2016-05-05 |
10-K | 2015-12-31 | Filed 2016-02-25 |
10-Q | 2015-09-30 | Filed 2015-11-05 |
10-Q | 2015-06-30 | Filed 2015-08-06 |
10-Q | 2015-03-31 | Filed 2015-05-07 |
10-K | 2014-12-31 | Filed 2015-02-26 |
10-Q | 2014-09-30 | Filed 2014-11-06 |
10-Q | 2014-06-30 | Filed 2014-08-07 |
10-Q | 2014-03-31 | Filed 2014-05-08 |
10-K | 2013-12-31 | Filed 2014-02-27 |
10-Q | 2013-09-30 | Filed 2013-11-07 |
10-Q | 2013-06-30 | Filed 2013-08-08 |
10-Q | 2013-03-31 | Filed 2013-05-09 |
10-Q | 2012-09-30 | Filed 2012-11-08 |
10-Q | 2012-06-30 | Filed 2012-08-09 |
10-Q | 2012-03-31 | Filed 2012-05-14 |
10-K | 2011-12-31 | Filed 2012-03-09 |
10-Q | 2011-09-30 | Filed 2011-11-10 |
10-Q | 2011-06-30 | Filed 2011-08-12 |
10-Q | 2011-03-31 | Filed 2011-05-16 |
8-K | 2020-11-24 | |
8-K | 2020-11-09 | |
8-K | 2020-11-09 | |
8-K | 2020-08-17 | |
8-K | 2020-08-06 | |
8-K | 2020-08-06 | |
8-K | 2020-06-24 | |
8-K | 2020-05-07 | |
8-K | 2020-05-07 | |
8-K | 2020-05-06 | |
8-K | 2020-02-14 | |
8-K | 2020-02-14 | |
8-K | 2020-01-14 | |
8-K | 2019-12-20 | |
8-K | 2019-12-17 | |
8-K | 2019-12-05 | |
8-K | 2019-11-19 | |
8-K | 2019-11-07 | |
8-K | 2019-11-07 | |
8-K | 2019-09-16 | |
8-K | 2019-08-08 | |
8-K | 2019-08-08 | |
8-K | 2019-06-05 | |
8-K | 2019-06-03 | |
8-K | 2019-05-23 | |
8-K | 2019-05-09 | |
8-K | 2019-05-09 | |
8-K | 2019-05-08 | |
8-K | 2019-05-03 | |
8-K | 2019-03-05 | |
8-K | 2019-02-26 | |
8-K | 2019-02-21 | |
8-K | 2019-02-21 | |
8-K | 2019-01-23 | |
8-K | 2019-01-08 | |
8-K | 2018-11-29 | |
8-K | 2018-11-20 | |
8-K | 2018-11-14 | |
8-K | 2018-11-08 | |
8-K | 2018-11-08 | |
8-K | 2018-11-07 | |
8-K | 2018-09-17 | |
8-K | 2018-09-10 | |
8-K | 2018-08-09 | |
8-K | 2018-08-09 | |
8-K | 2018-06-18 | |
8-K | 2018-06-11 | |
8-K | 2018-05-10 | |
8-K | 2018-05-10 | |
8-K | 2018-05-09 | |
8-K | 2018-05-02 | |
8-K | 2018-03-26 | |
8-K | 2018-02-22 | |
8-K | 2018-02-22 | |
8-K | 2018-01-16 | |
8-K | 2018-01-08 | |
8-K | 2018-01-05 |
Part I - Financial Information |
Item 1.Financial Statements |
Note 1. Company Background and Overview |
Note 2. Basis of Preparation and Critical Accounting Policies |
Note 3. Debt Financing |
Note 4. Commitments and Contingencies |
Note 5. Rental Income |
Note 6. Earnings per Share |
Note 7. Fair Value Measurements |
Note 8. Shareholders' Equity |
Note 9. Stock - Based Compensation |
Note 10. Aircraft Under Management |
Note 11. Flight Equipment Held for Sale |
Note 12. Impact of Covid - 19 Pandemic |
Note 13. Subsequent Events |
Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations |
Item 3. Quantitative and Qualitative Disclosures About Market Risk |
Item 4. Controls and Procedures |
Part II - Other Information |
Item 1. Legal Proceedings |
Item 1A. Risk Factors |
Item 2. Unregistered Sales of Equity Securities and Use of Proceeds |
Item 3. Defaults Upon Senior Securities |
Item 4. Mine Safety Disclosures |
Item 5. Other Information |
Item 6. Exhibits |
EX-10.1 | al-20200930xex10d1.htm |
EX-10.2 | al-20200930xex10d2.htm |
EX-10.3 | al-20200930xex10d3.htm |
EX-10.4 | al-20200930xex10d4.htm |
EX-10.5 | al-20200930xex10d5.htm |
EX-31.1 | al-20200930xex31d1.htm |
EX-31.2 | al-20200930xex31d2.htm |
EX-32.1 | al-20200930xex32d1.htm |
EX-32.2 | al-20200930xex32d2.htm |
Balance Sheet | Income Statement | Cash Flow |
---|---|---|
Assets, Equity
|
Rev, G Profit, Net Income
|
Ops, Inv, Fin
|
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
For the quarterly period ended
OR
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
For the transition period from to
Commission file number
(Exact name of registrant as specified in its charter)
| ||
(State or other jurisdiction of | (I.R.S. Employer |
| ||
(Address of principal executive offices) | (Zip Code) |
Registrant’s telephone number, including area code: (
Securities registered pursuant to Section 12(b) of the Act:
Title of each class | Trading Symbol(s) | Name of each exchange on which registered |
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.
Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§ 232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act:
Accelerated filer ☐ | ||
Non-accelerated filer ☐ | Smaller reporting company | |
Emerging growth company |
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes
At November 6, 2020, there were
Air Lease Corporation and Subsidiaries
Form 10-Q
For the Quarterly Period Ended September 30, 2020
TABLE OF CONTENTS
2
NOTE ABOUT FORWARD-LOOKING STATEMENTS
Statements in this quarterly report on Form 10-Q that are not historical facts may constitute “forward-looking statements,” including any statements about our expectations, beliefs, plans, predictions, forecasts, objectives, assumptions or future events or performance. These statements are often, but not always, made through the use of words or phrases such as “anticipate,” “believes,” “can,” “could,” “may,” “predicts,” “potential,” “should,” “will,” “estimate,” “plans,” “projects,” “continuing,” “ongoing,” “expects,” “intends” and similar words or phrases. These statements are only predictions and involve estimates, known and unknown risks, assumptions and uncertainties that could cause actual results to differ materially from those expressed in such statements, including as a result of the following factors, among others:
● | the extent to which the coronavirus (“COVID-19”) pandemic and measures taken to contain its spread ultimately impact our business, results of operation and financial condition; |
● | our inability to obtain additional financing on favorable terms, if required, to complete the acquisition of sufficient aircraft as currently contemplated or to fund the operations and growth of our business; |
● | our inability to obtain refinancing prior to the time our debt matures; |
● | our inability to make acquisitions of, or lease, aircraft on favorable terms; |
● | our inability to sell aircraft on favorable terms or to predict the timing of such sales; |
● | impaired financial condition and liquidity of our lessees; |
● | changes in overall demand for commercial aircraft leasing and aircraft management services; |
● | deterioration of economic conditions in the commercial aviation industry generally; |
● | potential natural disasters and terrorist attacks and the amount of our insurance coverage, if any, relating thereto; |
● | increased maintenance, operating or other expenses or changes in the timing thereof; |
● | changes in the regulatory environment, including tariffs and other restrictions on trade; |
● | our inability to effectively oversee our managed fleet; |
● | the failure of any manufacturer to meet its contractual aircraft delivery obligations to us, including or as a result of technical or other difficulties with aircraft before or after delivery, resulting in our inability to deliver the aircraft to our lessees; |
● | other factors affecting our business or the business of our lessees and aircraft manufacturers or their suppliers that are beyond our or their control, including natural disasters, pandemics (such as COVID-19) and measures taken to contain its spread, and governmental actions; and |
● | the factors discussed under “Part I — Item 1A. Risk Factors,” in our Annual Report on Form 10-K for the year ended December 31, 2019, “Part II — Item 1A. Risk Factors” in our Quarterly Report on Form 10-Q for the quarter ended March 31, 2020 and other SEC filings, including future SEC filings. |
The factors noted above and the risks included in our other SEC filings may be increased or intensified as a result of the COVID-19 pandemic, including as a result of the recent resurgence of the COVID-19 virus in certain parts of the world, including the United States and parts of Europe, and any future resurgences of the virus. The extent to which the COVID-19 pandemic ultimately impacts our business, results of operations and financial condition will depend on future developments, which are highly uncertain and cannot be predicted. See the risk factor in “Part II — Item 1A. Risk Factors” in our Quarterly Report on Form 10-Q for the quarter ended March 31, 2020, “The coronavirus (COVID-19) pandemic and related efforts to mitigate the pandemic have impacted our business, and the extent to which the COVID-19 pandemic and measures taken to contain its spread ultimately impact our business will depend on future developments, which are highly uncertain and are difficult to predict.” All forward-looking statements are necessarily only estimates of future results, and there can be no assurance that actual results will not differ materially from expectations. You are therefore cautioned not to place undue reliance on such statements. Any forward-looking statement speaks only as of the date on which it is made, and we undertake no obligation to update any forward-looking statement to reflect events or circumstances after the date on which the statement is made or to reflect the occurrence of unanticipated events.
3
PART I—FINANCIAL INFORMATION
ITEM 1. | FINANCIAL STATEMENTS |
Air Lease Corporation and Subsidiaries
CONSOLIDATED BALANCE SHEETS
(In thousands, except share and par value amounts)
| September 30, 2020 |
| December 31, 2019 | |||
| (unaudited) | |||||
Assets | ||||||
Cash and cash equivalents | $ | | $ | | ||
Restricted cash |
| |
| | ||
Flight equipment subject to operating leases |
| |
| | ||
Less accumulated depreciation |
| ( |
| ( | ||
| |
| | |||
Deposits on flight equipment purchases |
| |
| | ||
Other assets |
| |
| | ||
Total assets | $ | | $ | | ||
Liabilities and Shareholders’ Equity | ||||||
Accrued interest and other payables | $ | | $ | |||
Debt financing, net of discounts and issuance costs |
| |
| | ||
Security deposits and maintenance reserves on flight equipment leases |
| |
| | ||
Rentals received in advance |
| |
| | ||
Deferred tax liability |
| |
| | ||
Total liabilities | $ | | $ | | ||
Shareholders’ Equity | ||||||
Preferred Stock, $ |
| |
| | ||
Class A common stock, $ |
| |
| | ||
Class B non-voting common stock, $ |
|
| ||||
Paid-in capital |
| |
| | ||
Retained earnings |
| |
| | ||
Accumulated other comprehensive loss | ( | ( | ||||
Total shareholders’ equity | $ | | $ | | ||
Total liabilities and shareholders’ equity | $ | | $ | |
(See Notes to Consolidated Financial Statements)
4
Air Lease Corporation and Subsidiaries
CONSOLIDATED STATEMENTS OF INCOME AND COMPREHENSIVE INCOME
(In thousands, except share and per share amounts)
Three Months Ended | Nine Months Ended | ||||||||||||
September 30, | September 30, | ||||||||||||
| 2020 |
| 2019 |
| 2020 |
| 2019 | ||||||
(unaudited) |
| ||||||||||||
Revenues | |||||||||||||
Rental of flight equipment | $ | | $ | | $ | | $ | | |||||
Aircraft sales, trading and other |
| |
| |
| |
| | |||||
Total revenues |
| |
| |
| |
| | |||||
Expenses | |||||||||||||
Interest |
| |
| |
| |
| | |||||
Amortization of debt discounts and issuance costs |
| |
| |
| |
| | |||||
Interest expense |
| |
| |
| |
| | |||||
Depreciation of flight equipment | | | | | |||||||||
Selling, general and administrative |
| |
| |
| |
| | |||||
Stock-based compensation | | | | | |||||||||
Total expenses |
| |
| |
| |
| | |||||
Income before taxes |
| |
| |
| |
| | |||||
Income tax expense |
| ( |
| ( |
| ( |
| ( | |||||
Net income | $ | | $ | | $ | | $ | | |||||
Preferred stock dividends |
| ( |
| ( |
| ( |
| ( | |||||
Net income available to common stockholders | $ | | $ | | $ | | $ | | |||||
Other Comprehensive Income/(Loss): | |||||||||||||
Change in foreign currency translation adjustment | ( | — | | — | |||||||||
Change from current period hedged transaction | | — | ( | — | |||||||||
Total tax expense on other comprehensive income/loss | ( | — | ( | — | |||||||||
Other Comprehensive income available for common stockholders, net of tax | | — | | — | |||||||||
Total comprehensive income available for common stockholders | $ | | $ | | $ | | $ | | |||||
Earnings per share of common stock: | |||||||||||||
Basic | $ | | $ | | $ | | $ | | |||||
Diluted | $ | | $ | | $ | | $ | | |||||
Weighted-average shares outstanding | |||||||||||||
Basic |
| |
|
| |
| | ||||||
Diluted |
| |
| |
| |
| | |||||
Dividends declared per share of common stock | $ | | $ | | $ | | $ | |
(See Notes to Consolidated Financial Statements)
5
Air Lease Corporation and Subsidiaries
CONSOLIDATED STATEMENT OF SHAREHOLDERS’ EQUITY
(In thousands, except share and per share amounts)
Class B Non- | Accumulated | ||||||||||||||||||||||||||
Class A | Voting | Other | |||||||||||||||||||||||||
Preferred Stock | Common Stock | Common Stock | Paid-in | Retained | Comprehensive | ||||||||||||||||||||||
(unaudited) |
| Shares |
| Amount |
| Shares |
| Amount |
| Shares |
| Amount |
| Capital |
| Earnings |
| (Loss)/Income |
| Total | |||||||
Balance at December 31, 2019 | | $ | | | $ | | — | $ | — | $ | | $ | | $ | ( | $ | | ||||||||||
Issuance of common stock upon vesting of restricted stock units and upon exercise of options | — | — | | | — | — | | — | — | | |||||||||||||||||
Dividends declared on preferred stock |
| — | — | — | — | — | — | — | ( | — | ( | ||||||||||||||||
Stock-based compensation | — | — | — | — | — | — | | — | — | | |||||||||||||||||
Cash dividends (declared $ | — | — | — | — | — | — | — | ( | — | ( | |||||||||||||||||
Change in foreign currency translation adjustment and from current period hedged transaction |
| — | — | — | — | — | — | — | — | ( | ( | ||||||||||||||||
Tax withholding related to vesting of restricted stock units and exercise of stock options |
| — | — | ( | ( | — | — | ( | — | — | ( | ||||||||||||||||
Net income |
| — | — | — | — | — | — | — | — | | |||||||||||||||||
Balance at March 31, 2020 |
| | $ | | | $ | | — | $ | — | $ | | $ | | $ | ( | $ | | |||||||||
Issuance of common stock upon vesting of restricted stock units and upon exercise of options |
| — | — | | | — | — | | — | — | | ||||||||||||||||
Dividends declared on preferred stock |
| — | — | — | — | — | — | — | ( | — | ( | ||||||||||||||||
Stock-based compensation |
| — | — | — | — | — | — | | — | — | | ||||||||||||||||
Cash dividends (declared $ |
| — | — | — | — | — | — | — | ( | — | ( | ||||||||||||||||
Change in foreign currency translation adjustment and from current period hedged transaction | — | — | — | — | — | — | — | — | | | |||||||||||||||||
Tax withholding related to vesting of restricted stock units and exercise of stock options | — | — | ( | — | — | — | ( | — | — | ( | |||||||||||||||||
Net income |
| — | — | — | — | — | — | — | | — | | ||||||||||||||||
Balance at June 30, 2020 |
| | $ | | | $ | | — | $ | — | $ | | $ | | $ | ( | $ | | |||||||||
Issuance of common stock upon vesting of restricted stock units and upon exercise of options | — | — | | | — | — | | — | — | | |||||||||||||||||
Dividends declared on preferred stock |
| — | — | — | — | — | — | — | ( | — | ( | ||||||||||||||||
Stock-based compensation | — | — | — | — | — | | — | — | | ||||||||||||||||||
Cash dividends (declared $ | — | — | — | — | — | — | — | ( | — | ( | |||||||||||||||||
Change in foreign currency translation adjustment and from current period hedged transaction | — | — | — | — | — | — | — | — | | | |||||||||||||||||
Tax withholding related to vesting of restricted stock units and exercise of stock options | — | — | ( | ( | — | — | ( | — | — | ( | |||||||||||||||||
Net income | — | — | — | — | — | — | — | | — | | |||||||||||||||||
Balance at September 30, 2020 |
| | $ | | | $ | | — | $ | — | $ | | $ | | $ | ( | $ | |
6
Air Lease Corporation and Subsidiaries
CONSOLIDATED STATEMENT OF SHAREHOLDERS’ EQUITY
(In thousands, except share and per share amounts)
Class B Non- | ||||||||||||||||||||||||
Class A | Voting | |||||||||||||||||||||||
Preferred Stock | Common Stock | Common Stock | Paid-in | Retained | ||||||||||||||||||||
(unaudited) |
| Shares |
| Amount |
| Shares |
| Amount |
| Shares |
| Amount |
| Capital |
| Earnings |
| Total | ||||||
Balance at December 31, 2018 | — | $ | — | | $ | | — | $ | — | $ | | $ | | $ | | |||||||||
Issuance of common stock upon vesting of restricted stock units and upon exercise of options |
| — | — | | | — | — | | — | | ||||||||||||||
Issuance of preferred stock | | | — | — | — | — | | — | | |||||||||||||||
Stock-based compensation | — | — | — | — | — | — | | — | | |||||||||||||||
Cash dividends (declared $ |
| — | — | — | — | — | — | — | ( | ( | ||||||||||||||
Tax withholding related to vesting of restricted stock units and exercise of stock options |
| — | — | ( | ( | — | — | ( | — | ( | ||||||||||||||
Net income |
| — | — | — | — | — | — | — | | | ||||||||||||||
Balance at March 31, 2019 |
| | $ | | | $ | | — | $ | — | $ | | $ | | $ | | ||||||||
Issuance of common stock upon vesting of restricted stock units and upon exercise of options |
| — | — | | |
| — | — | | — | | |||||||||||||
Issuance of preferred stock | — | — | — | — | — | — | ( | — | ( | |||||||||||||||
Dividends declared on preferred stock | — | — | — | — | — | — | — | ( | ( | |||||||||||||||
Stock-based compensation | — | — | — | — | — | — | | — | | |||||||||||||||
Cash dividends (declared $ | — | — | — | — | — | — | — | ( | ( | |||||||||||||||
Net income | — | — | — | — | — | — | — | | | |||||||||||||||
Balance at June 30, 2019 | | $ | | | $ | | — | $ | — | $ | | $ | | $ | | |||||||||
Issuance of common stock upon vesting of restricted stock units and upon exercise of options | — | — | | | — | — | | — | | |||||||||||||||
Dividends declared on preferred stock | — | — | — | — | — | — | — | ( | ( | |||||||||||||||
Stock-based compensation | — | — | — | — | — | — | | — | | |||||||||||||||
Cash dividends (declared $ | — | — | — | — |
| — | — | — | ( | ( | ||||||||||||||
Tax withholding related to vesting of restricted stock units and exercise of stock options | — | — | ( | ( |
| — | — | ( | — | ( | ||||||||||||||
Net income | — | — | — | — | — | — | — | | | |||||||||||||||
Balance at September 30, 2019 | | $ | | | $ | | — | $ | — | $ | | $ | | $ | |
(See Notes to Consolidated Financial Statements)
7
Air Lease Corporation and Subsidiaries
CONSOLIDATED STATEMENTS OF CASH FLOWS
(In thousands)
Nine Months Ended | ||||||
September 30, | ||||||
| 2020 |
| 2019 | |||
| (unaudited) | |||||
Operating Activities | ||||||
Net income | $ | | $ | | ||
Adjustments to reconcile net income to net cash provided by operating activities: | ||||||
Depreciation of flight equipment |
| |
| | ||
Stock-based compensation | | | ||||
Deferred taxes |
| |
| | ||
Amortization of debt discounts and issuance costs |
| |
| | ||
Amortization of prepaid lease costs | |
| | |||
Gain on aircraft sales, trading and other activity |
| ( |
| ( | ||
Changes in operating assets and liabilities: | ||||||
Other assets | ( | ( | ||||
Accrued interest and other payables |
| ( |
| | ||
Rentals received in advance | ( | | ||||
Net cash provided by operating activities |
| |
| | ||
Investing Activities |
|
| ||||
Acquisition of flight equipment under operating lease |
| ( |
| ( | ||
Payments for deposits on flight equipment purchases |
| ( |
| ( | ||
Proceeds from aircraft sales, trading and other activity | | | ||||
Acquisition of aircraft furnishings, equipment and other assets |
| ( |