AerSale Corporation (ASLE) stock plummeted 20.84 % in the pre-market trading session at the price of $18.12 after announcing its financial results for the third quarter of 2021.
ASLE serves and facilitates airlines operating large jets invented by Airbus, Boeing, and McDonnell Douglas. It provides integrated aftermarket services to assist aircraft owners to realize significant savings in maintenance, operation, and monetization of their aircraft.
ASLE Third Quarter 2021 Financial Results
On 9th November 2021, ASLE announced its financial results for the third quarter ended 30th September 2021 and provided corporate updates.
Financial Highlights
For the third quarter of 2021, ASLE calculated revenue of $73.3 million. It includes flight equipment sales of roughly $27.4 million. Revenue was $57.1 million for the third quarter of 2020. Revenue from Asset Management Solutions grew $19.2 million for the third quarter of 2021. For the third quarter of 2021, TechOps revenue plunged 10.9% to $24.4 million.
For the third quarter ended 30th September 2021, ASLE reported a gross margin of 33.6%. The gross margin was 46.4% in the third quarter ended on 30th September 2020. In the third quarter of 2021, selling, general, and administrative (SG&A) expenses were approximately $22.8 million. SG&A expenses were $13.4 million in the third quarter ended on 30th September 2020.
Operating income was $1.8 million in the six months ended on 30th September 2021. In the third quarter of 2020, operating income was $19.3 million. Net loss was roughly $1.6 million for the third quarter of 2021. GAAP net income totaled $14.7 million in the third quarter of the previous year. Diluted earnings (loss) were $0.04 per share for the third quarter of 2021. Adjusted EBITDA was $13.9 million in the third quarter of 2021 compared to $25.6 million in the same quarter of 2020.
Management Comments
Chief Executive Officer of ASLE, Nicolas Finazzo, stated that they are happy with the performance and progress of their integrated business model. They anticipate continuing the burgeoning recovery in the commercial markets in the coming future. Their profitability is beating their prediction as the company recognized higher margins for freighter aircraft. It has positioned them to raise their full-year profit guidance, he added.
