Fly Leasing Limited announced its financial results for the second quarter of 2019.
"FLY continues to achieve record results, producing its fifth straight quarter of double-digit ROE,” said Colm Barrington, FLY’s chief executive officer. “Our renewed fleet contributed to a 13 percent increase in operating lease rental revenue compared to the same quarter last year. Economic gains of nearly $19 million from the sale of seven aircraft helped us to achieve record Adjusted Net Income of $61.9 million, or $1.92 per share, in the quarter, and Adjusted Net Income of $109.0 million, or $3.37 per share, for the first six months of the year. Looking ahead, we expect another strong result in the third quarter.” "As a result of our deleveraging strategy following last year’s major fleet acquisition, we have met our leverage target a year ahead of schedule,” said Barrington. “We also have been repurchasing stock, buying back 1.47 million shares in the quarter. FLY will begin taking delivery of its $1 billion of contracted A320neo family aircraft later this year, and is well positioned to add aircraft as opportunities arise.”
"We sold seven aircraft in the quarter at a 10 percent premium to book value, and in the third quarter, we have contracted to sell 14 more aircraft, also at gains, again demonstrating the value embedded in FLY’s fleet,” added Barrington. “Our record results have also added significantly to shareholders’ equity, which is now over $24 per share and 13 percent above the level at the end of 2018. We continue to see great value in FLY’s shares, which are trading at a 26 percent discount to book value. At its August meeting, FLY’s board of directors authorized a new $50 million share repurchase program."
FLY is reporting net income of $54.1 million, or $1.68 per share, for the second quarter of 2019. This compares to net income of $24.3 million, or $0.87 per share, for the same period in 2018.
Net income for the six months ended June 30 was $99.0 million, or $3.06 per share, compared to net income of $34.0 million, or $1.21 per share, for the six months ended June 30, 2018.
Adjusted Net Income was $61.9 million for the second quarter of 2019, compared to $25.2 million for the same period in the previous year. On a per share basis, Adjusted Net Income was $1.92 in the second quarter of 2019, compared to $0.90 for the second quarter of 2018.
For the six months ended June 30, Adjusted Net Income was $109.0 million, or $3.37 per share, compared to $37.6 million, or $1.34 per share, for the same period last year.