Reportable Segments

3 Months Ended

Mar. 31, 2024

Segment Reporting [Abstract]

Reportable Segments

Reportable Segments

The Company has two reportable segments: (i) Leasing and Related Operations, which involves acquiring and leasing, primarily pursuant to operating leases, commercial aircraft, aircraft engines, and other aircraft equipment, and the selective purchase and resale of commercial aircraft engines and other aircraft equipment, and other related businesses and (ii) Spare Parts Sales, which involves the purchase and resale of after-market engine parts, whole engines, engine modules, and portable aircraft components.

The Company evaluates the performance of each of the segments based on profit or loss after general and administrative expenses. While the Company believes there are synergies between the two business segments, the segments are managed separately because each requires different business strategies. The Company’s Chief Operating Decision Maker is Austin Willis, Chief Executive Officer.

The following tables present a summary of the reportable segments (in thousands):

Three months ended March 31, 2024	Leasing and  Related Operations		Spare Parts Sales		Eliminations		Total
Revenue:
Lease rent revenue	$	52,881	$	—	$	—	$	52,881
Maintenance reserve revenue	43,870		—		—		43,870
Spare parts and equipment sales	84		3,204		—		3,288
Interest revenue	2,269		—		—		2,269
Gain on sale of leased equipment	9,201		—		—		9,201
Maintenance services revenue	5,227		—		—		5,227
Other revenue	2,144		241		(38)		2,347
Total revenue	115,676		3,445		(38)		119,083
Expenses:
Depreciation and amortization expense	22,468		18		—		22,486
Cost of spare parts and equipment sales	9		2,696		—		2,705
Cost of maintenance services	5,574		—		—		5,574
Write-down of equipment	261		—		—		261
General and administrative	28,186		1,395		—		29,581
Technical expense	8,255		—		—		8,255
Net finance costs:
Interest expense	23,003		—		—		23,003
Total finance costs	23,003		—		—		23,003
Total expenses	87,756		4,109		—		91,865
Income (loss) from operations	$	27,920	$	(664)	$	(38)	$	27,218

Three months ended March 31, 2023	Leasing and  Related Operations		Spare Parts Sales		Eliminations		Total
Revenue:
Lease rent revenue	$	53,220	$	—	$	—	$	53,220
Maintenance reserve revenue	23,498		—		—		23,498
Spare parts and equipment sales	55		4,997		—		5,052
Interest revenue	2,046		—		—		2,046
Loss on sale of leased equipment	(133)		—		—		(133)
Maintenance services revenue	4,659		—		—		4,659
Other revenue	1,129		98		(34)		1,193
Total revenue	84,474		5,095		(34)		89,535
Expenses:
Depreciation and amortization expense	22,517		32		—		22,549
Cost of spare parts and equipment sales	8		4,491		—		4,499
Cost of maintenance services	3,927		—		—		3,927
General and administrative	26,791		1,040		—		27,831
Technical expense	4,342		—		—		4,342
Net finance costs:
Interest expense	18,389		—		—		18,389
Total finance costs	18,389		—		—		18,389
Total expenses	75,974		5,563		—		81,537
Income (loss) from operations	$	8,500	$	(468)	$	(34)	$	7,998

	Leasing and  Related Operations		Spare Parts Sales		Eliminations		Total
Total assets as of March 31, 2024	$	2,583,678	$	90,784	$	—	$	2,674,462
Total assets as of December 31, 2023	$	2,602,907	$	49,437	$	—	$	2,652,344