Revenue at aircraft leasing company Avolon soared in 2017, as it acquired CIT in a "transformative year" for the firm.
The company said revenue rose 129 per cent to $2.4 billion (€1.95 billion) last year and full year profit after tax increased by 59 per cent to $550 million, a record for the firm.
Avolon grew its fleet by 109 per cent to 908 following the $10 billion (€8.5 billion) takeover in April. Assets at the company increased 89 per cent year on year to $27.1 billion.
The company raised $14.9 billion total debt and equity capital in 2017, which includes $9.75 billion of debt raised in the public capital markets.
At the end of 2017, Avolon still had a $5 billion cushion in cash and undrawn credit to insulate it from any fallout from its Chinese parent’s difficulties. HNA, the Chinese conglomerate that controls Irish-based Avolon’s owner Bohai, faces a cash crisis following a buying spree and slowdown in its country’s economy.
The company also had $15.7 billion future contracted rental cashflows at year-end.
Over the year, Avolon sold 44 aircraft, and had 107 aircraft deliveries, transitions and sales, including the delivery of 45 new aircraft.
"Avolon delivered a strong performance in 2017 in what was a transformative year for our business," chief executive Domhnall Slattery said. "As we look forward to 2018, we are confident in our business and our growth objectives. We are a stronger and more strategically relevant business than at any time in our history. We have the team, the balance sheet and the aircraft order book to deliver for our customers and all our stakeholders in 2018 and beyond."
Avolon is headquartered in Ireland, with offices in the United States, Dubai, Singapore, Hong Kong and Shanghai.
