Aircraft engine and parts leasing specialist Willis Lease Finance Corporation has reported pre-tax earnings for 2016 of $23.9 million, up 87.4% compared to 2015, on record revenue of $207.3 million.

Charles Willis, chairman and CEO, said: “I am very pleased that on a pre-tax basis our financial performance in 2016 was our most profitable since 2009.”

“Our fourth quarter and full-year results reflect a combination of improved utilization, growth in the lease portfolio and the continued effective management of our assets.

“We also broadened our sources of equity through the issuance of preferred equity, which will serve our growth plans well.”

The record results follow the October 2016 purchase of the consultancy business of Total Engine Support when its parent company went into liquidation.

The acquisition was designed to expand Willis’s asset management service offering and grow the company's owned and managed portfolio of engines, aircraft and equipment by more than 500 assets.

Future position

Brian Hole, president, said that in addition to delivering solid financial results, the company achieved a number of objectives in 2016 that position it well for the future.

He said: “We amended both of our principal debt facilities, improving the flexibility and capacity of our ability to borrow and to manage our portfolio.

“We also formed Willis Asset Management to purchase the consultancy business of Total Engine Support and we now own and manage almost 800 engines, making us the largest independent owner and manager of engines in the world.

“We expect that the capabilities of the people and systems at WAM will help us develop and deliver cutting edge programs for our customers.

“[We have a] full complement of products and services combined with our decades-long track record of delivering on promises. We will continue to emphasize creativity and reliability as we grow the business going forward.”

At the end of 2016, Willis Lease had 208 commercial aircraft engines, 11 aircraft and five aircraft parts packages and other engine-related equipment in its lease portfolio, with a net book value of $1.137 billion.

This compares to 201 commercial aircraft engines, 10 aircraft and five aircraft parts packages and other engine-related equipment with a net book value of $1.109 billion, a year ago.