BUSINESS SEGMENTS (Tables)

9 Months Ended

Sep. 30, 2023

BUSINESS SEGMENTS

Summary of selected financial information for each segment

Selected financial information for each segment for the three and nine months ended September 30, 2023 and 2022 is as follows (in thousands):

	Three Months Ended September 30,				Nine Months Ended September 30,
	2023		2022		2023		2022
Revenue
Asset Management Solutions
Aircraft	$	20,888	$	6,503	$	57,836	$	78,343
Engine		44,166		14,088		92,719		131,319
		65,054		20,591		150,555		209,662
TechOps
MRO services		23,154		26,390		78,725		72,258
Product sales		4,276		4,018		10,583		7,888
Whole asset sales		-		-		218		23,605
		27,430		30,408		89,526		103,751
Total	$	92,484	$	50,999	$	240,081	$	313,413
	Three Months Ended September 30,				Nine Months Ended September 30,
	2023		2022		2023		2022
Gross profit
Asset Management Solutions
Aircraft	$	6,656	$	2,480	$	16,871	$	29,779
Engine		11,881		6,210		31,080		60,439
		18,537		8,690		47,951		90,218
TechOps
MRO services		3,892		5,453		17,078		16,257
Product sales		1,045		1,346		2,600		3,174
Whole asset sales		-		-		376		7,523
		4,937		6,799		20,054		26,954
Total	$	23,474	$	15,489	$	68,005	$	117,172
					September 30, 2023		December 31, 2022
Total assets
Asset Management Solutions					$	382,624	$	233,034
Tech Ops						156,672		141,406
Corporate						14,606		157,139
					$	553,902	$	531,579

Summary of reconciliation segment gross profit to income before income tax provision

The following table reconciles segment gross profit to (loss) income before income tax provision for the three and nine months ended September 30, 2023 and 2022 (in thousands):

	Three Months Ended September 30,				Nine Months Ended September 30,
	2023		2022		2023		2022
Segment gross profit	$	23,474	$	15,489	$	68,005	$	117,172
Selling, general and administrative expenses		(25,403)		(23,983)		(77,724)		(71,252)
Interest (expense) income, net		(250)		393		1,178		15
Other income, net		127		45		498		526
Change in fair value of warrant liability		(55)		(2,029)		1,004		(1,881)
(Loss) income before income tax provision	$	(2,107)	$	(10,085)	$	(7,039)	$	44,580

Summary of intersegment revenues

Intersegment revenue for the three and nine months ended September 30, 2023 and 2022, is as follows (in thousands):

	Three Months Ended September 30,				Nine Months Ended September 30,
	2023		2022		2023		2022
Asset Management Solutions	$	168	$	1,705	$	1,241	$	4,886
TechOps		3,761		3,168		13,952		15,771
Total intersegment revenues	$	3,929	$	4,873	$	15,193	$	20,657