Capital Lease Aviation boosted its cash position to $5.7 million for the 12 months to 30 June after paying down a loan on an Airbus A320, which is on lease to US Airways.
“As a consequence, the asset has provided an increased and significant cash contribution to the company,” says Jeff Chatfield, chairman of the lessor in a statement.
The lessor had a cash balance of $2.8 million at the end of the year-earlier period.
CLA reported a $4 million net profit for the 12-month period, a 14% increase from 2012.
Revenue from continuing operations were $10.8 million, says the lessor.
CLA acquired an Airbus A321 on lease to Condor during the year, increasing its total assets by 20.5% to $97.7 million. The purchase caused net debt to jump by 33.6% to $45.4 million
Chatfield says: "It is pleasing that CLA has an enhanced growth profile with both growth in aircraft fleet and profits. A conservative strategy is leading to consistent asset growth."
CLA is “diligently pursuing” new aircraft acquisitions and is in active discussions to extend leases with its current lessees.
“In the coming years, it is possible that the refinancing of some of our assets may allow CLA to increase the gearing ratio and therefore use the cash released to allow for further aircraft acquisitions.”