Ireland
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(Address of principal executive office)
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Form 20-F
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☒ |
Form 40-F
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☐ |
Exhibit | Title |
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99.1 | Press release of Fly Leasing Limited, dated May 9, 2019. |
Fly Leasing Limited
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|||||
(Registrant)
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|||||
Date:
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May 9, 2019
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By:
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/s/ Colm Barrington
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Colm Barrington
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|||||
Chief Executive Officer and Director
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Exhibit | Title |
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99.1 | Press release of Fly Leasing Limited, dated May 9, 2019. |
• |
Net income of $45.0 million, $1.38 per share
|
• |
Adjusted Net Income of $47.2 million, $1.44 per share
|
• |
Sold ten aircraft for a gain of $27.6 million, a 12% premium to book value
|
• |
$22.74 book value per share, a 15% increase since March 31, 2018
|
Portfolio at
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Mar. 31, 2019
|
Dec. 31, 2018
|
||||||||||||||
Number
|
% of Net
Book Value
|
Number
|
% of Net
Book Value
|
|||||||||||||
Airbus A320 Family(1)
|
47
|
36
|
%
|
55
|
38
|
%
|
||||||||||
Airbus A330
|
3
|
5
|
%
|
3
|
5
|
%
|
||||||||||
Airbus A340
|
2
|
1
|
%
|
2
|
1
|
%
|
||||||||||
Boeing 737NG(2)
|
41
|
33
|
%
|
42
|
32
|
%
|
||||||||||
Boeing 737 MAX
|
2
|
3
|
%
|
2
|
3
|
%
|
||||||||||
Boeing 757(3)
|
2
|
0
|
%
|
3
|
1
|
%
|
||||||||||
Boeing 777-LRF
|
2
|
9
|
%
|
2
|
8
|
%
|
||||||||||
Boeing 787
|
4
|
13
|
%
|
4
|
12
|
% | ||||||||||
Total
|
103
|
100
|
%
|
113
|
100
|
% | ||||||||||
(1) Includes two and ten Airbus A320 aircraft classified as held for sale at March 31, 2019 and December 31, 2018, respectively.
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||||||||||||||||
(2) Includes one and two aircraft classified as held for sale at March 31, 2019 and December 31, 2018, respectively.
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||||||||||||||||
(3) Includes one freighter.
|
Three months ended Mar. 31,
|
||||||||
2019
(Unaudited)
|
2018
(Unaudited)
|
|||||||
Revenues
|
||||||||
Operating lease rental revenue
|
$
|
105,328
|
$
|
89,113
|
||||
End of lease income
|
1,564
|
385
|
||||||
Amortization of lease incentives
|
(1,632
|
)
|
(2,283
|
)
|
||||
Amortization of lease discounts and other
|
(8
|
)
|
(139
|
)
|
||||
Operating lease revenue
|
105,252
|
87,076
|
||||||
Finance lease revenue
|
160
|
174
|
||||||
Equity earnings from unconsolidated subsidiary
|
56
|
112
|
||||||
Gain on sale of aircraft
|
27,620
|
—
|
||||||
Interest and other income
|
1,615
|
1,393
|
||||||
Total revenues
|
134,703
|
88,755
|
||||||
Expenses
|
||||||||
Depreciation
|
37,585
|
33,733
|
||||||
Interest expense
|
38,179
|
32,923
|
||||||
Selling, general and administrative
|
8,722
|
8,610
|
||||||
Loss on derivatives
|
17
|
789
|
||||||
Loss on extinguishment of debt
|
2,169
|
—
|
||||||
Maintenance and other costs
|
598
|
778
|
||||||
Total expenses
|
87,270
|
76,833
|
||||||
Net income before provision for income taxes
|
47,433
|
11,922
|
||||||
Provision for income taxes
|
2,468
|
2,292
|
||||||
Net income
|
$
|
44,965
|
$
|
9,630
|
||||
Weighted average number of shares
|
||||||||
- Basic
|
32,632,715
|
27,983,352
|
||||||
- Diluted
|
32,632,715
|
28,006,572
|
||||||
Earnings per share
|
||||||||
- Basic
|
$
|
1.38
|
$
|
0.34
|
||||
- Diluted
|
$
|
1.38
|
$
|
0.34
|
|
|
Mar. 31,
2019
(Unaudited)
|
|
|
Dec. 31,
2018
(Audited)
|
|||
Assets
|
||||||||
Cash and cash equivalents
|
$
|
363,930
|
$
|
180,211
|
||||
Restricted cash and cash equivalents
|
72,337
|
100,869
|
||||||
Rent receivables
|
5,927
|
9,307
|
||||||
Investment in finance lease, net
|
12,532
|
12,822
|
||||||
Flight equipment held for sale, net
|
76,024
|
259,644
|
||||||
Flight equipment held for operating lease, net
|
3,181,107
|
3,228,018
|
||||||
Maintenance rights
|
267,193
|
298,207
|
||||||
Deferred tax asset, net
|
15,975
|
6,505
|
||||||
Fair value of derivative assets
|
5,948
|
5,929
|
||||||
Other assets, net
|
126,115
|
124,960
|
||||||
Total assets
|
$
|
4,127,088
|
$
|
4,226,472
|
||||
Liabilities
|
||||||||
Accounts payable and accrued liabilities
|
$
|
32,900
|
$
|
23,146
|
||||
Rentals received in advance
|
18,043
|
21,322
|
||||||
Payable to related parties
|
4,069
|
4,462
|
||||||
Security deposits
|
53,196
|
60,097
|
||||||
Maintenance payment liability, net
|
292,605
|
292,586
|
||||||
Unsecured borrowings, net
|
618,100
|
617,664
|
||||||
Secured borrowings, net
|
2,228,268
|
2,379,869
|
||||||
Deferred tax liability, net
|
46,915
|
36,256
|
||||||
Fair value of derivative liabilities
|
16,206
|
8,558
|
||||||
Other liabilities
|
78,883
|
80,402
|
||||||
Total liabilities
|
3,389,185
|
3,524,362
|
||||||
Shareholders’ equity
|
||||||||
Common shares, $0.001 par value, 499,999,900 shares authorized; 32,452,427 and 32,650,019 shares issued and outstanding at March 31, 2019 and
December 31, 2018, respectively
|
32
|
33
|
||||||
Manager shares, $0.001 par value; 100 shares authorized, issued and outstanding
|
—
|
—
|
||||||
Additional paid-in capital
|
546,429
|
549,123
|
||||||
Retained earnings
|
199,480
|
154,347
|
||||||
Accumulated other comprehensive loss, net
|
(8,038
|
)
|
(1,393
|
)
|
||||
Total shareholders’ equity
|
737,903
|
702,110
|
||||||
Total liabilities and shareholders’ equity
|
$
|
4,127,088
|
$
|
4,226,472
|
Three months ended Mar. 31,
|
||||||||
2019
(Unaudited)
|
2018
(Unaudited)
|
|||||||
Cash Flows from Operating Activities
|
||||||||
Net income
|
$
|
44,965
|
$
|
9,630
|
||||
Adjustments to reconcile net income to net cash flows provided by operating activities:
|
||||||||
Finance lease revenue
|
(160
|
)
|
(174
|
)
|
||||
Equity in earnings from unconsolidated subsidiary
|
(56
|
)
|
(112
|
)
|
||||
Gain on sale of aircraft
|
(27,620
|
)
|
—
|
|||||
Depreciation
|
37,585
|
33,733
|
||||||
Amortization of debt discounts and debt issuance costs
|
2,796
|
1,999
|
||||||
Amortization of lease incentives and other items
|
1,839
|
2,702
|
||||||
Loss on extinguishment of debt
|
2,169
|
—
|
||||||
Unrealized foreign exchange (gain) loss
|
(172
|
)
|
408
|
|||||
Provision for deferred income taxes
|
2,472
|
2,353
|
||||||
(Gain) loss on derivative instruments
|
(57
|
)
|
1,251
|
|||||
Distributions from unconsolidated subsidiary
|
56
|
—
|
||||||
Cash receipts from maintenance rights
|
—
|
3,013
|
||||||
Changes in operating assets and liabilities:
|
||||||||
Rent receivables
|
2,505
|
(1,244
|
)
|
|||||
Other assets
|
(686
|
)
|
(526
|
)
|
||||
Payable to related parties
|
(393
|
)
|
(330
|
)
|
||||
Accounts payable, accrued liabilities and other liabilities
|
7,348
|
13,372
|
||||||
Net cash flows provided by operating activities
|
72,591
|
66,075
|
||||||
Cash Flows from Investing Activities
|
||||||||
Distributions from unconsolidated subsidiary
|
29
|
—
|
||||||
Rent received from finance lease
|
450
|
450
|
||||||
Swap termination proceeds
|
114
|
—
|
||||||
Investment income from Horizon I Limited equity certificates
|
273
|
—
|
||||||
Purchase of flight equipment
|
—
|
(42,000
|
)
|
|||||
Deposit on aircraft purchases
|
—
|
(30,000
|
)
|
|||||
Proceeds from sale of aircraft, net
|
235,770
|
—
|
||||||
Capitalized interest on Portfolio B orderbook
|
(1,201
|
)
|
—
|
|||||
Payments for aircraft improvement
|
(1,365
|
)
|
—
|
|||||
Payments for lessor maintenance obligations
|
(584
|
)
|
—
|
|||||
Net cash flows provided by (used in) investing activities
|
233,486
|
(71,550
|
)
|
Three months ended Mar. 31,
|
||||||||
2019
(Unaudited)
|
2018
(Unaudited)
|
|||||||
Cash Flows from Financing Activities
|
||||||||
Security deposits received
|
—
|
775
|
||||||
Security deposits returned
|
(1,546
|
)
|
(2,310
|
)
|
||||
Maintenance payment liability receipts
|
17,016
|
19,358
|
||||||
Maintenance payment liability disbursements
|
(8,604
|
)
|
(258
|
)
|
||||
Debt extinguishment costs
|
(54
|
)
|
—
|
|||||
Debt issuance costs
|
(342
|
)
|
(243
|
)
|
||||
Proceeds from secured borrowings
|
—
|
33,014
|
||||||
Repayment of secured borrowings
|
(155,184
|
)
|
(45,834
|
)
|
||||
Shares repurchased
|
(2,117
|
)
|
—
|
|||||
Net cash flows provided by (used in) financing activities
|
(150,831
|
)
|
4,502
|
|||||
Effect of exchange rate changes on unrestricted and restricted cash and cash equivalents
|
(59
|
)
|
85
|
|||||
Net increase (decrease) in unrestricted and restricted cash and cash equivalents
|
155,187
|
(888
|
)
|
|||||
Unrestricted and restricted cash and cash equivalents at beginning of period
|
281,080
|
456,815
|
||||||
Unrestricted and restricted cash and cash equivalents at end of period
|
$
|
436,267
|
$
|
455,927
|
||||
Reconciliation to Consolidated Balance Sheets:
|
||||||||
Cash and cash equivalents
|
$
|
363,930
|
$
|
384,345
|
||||
Restricted cash and cash equivalents
|
72,337
|
71,582
|
||||||
Unrestricted and restricted cash and cash equivalents
|
$
|
436,267
|
$
|
455,927
|
Three months ended Mar. 31,
|
||||||||
2019
(Unaudited)
|
2018
(Unaudited)
|
|||||||
Net income
|
$
|
44,965
|
$
|
9,630
|
||||
Adjustments:
|
||||||||
Unrealized foreign exchange (gain) loss
|
(172
|
)
|
408
|
|||||
Deferred income taxes
|
2,472
|
2,353
|
||||||
Fair value changes on undesignated derivatives
|
(112
|
)
|
(2
|
)
|
||||
Adjusted Net Income
|
$
|
47,153
|
$
|
12,389
|
||||
Average Shareholders’ Equity
|
$
|
720,007
|
$
|
549,611
|
||||
Adjusted Return on Equity
|
26.2
|
%
|
9.0
|
%
|
||||
Weighted average diluted shares outstanding
|
32,632,715
|
28,006,572
|
||||||
Adjusted Net Income per diluted share
|
$
|
1.44
|
$
|
0.44
|