BOC Aviation has reported an 18% rise in operating profit for 2016 to $474 million, boosted by stronger lease rental income.

Total revenue rose 9% to $1.19 billion, with lease revenue accounting for around $1 billion, while gains from aircraft sales amounted to $91 million.

Expenses also grew 4.3% during the year to $719 million.

Over the year, it took delivery of 67 aircraft, including 11 that were acquired by airlines on delivery, and leased 68 aircraft. In addition, it sold 37 owned jets and one managed aircraft, while its ordered and committed purchases grew to 199 aircraft.

Net profit was up 21.8% to $418 million.

“2016 was an outstanding year for BOC Aviation that included another year of record profitability, following a successful initial public offering, which was the largest aircraft operating lessor IPO in history,” says chief executive and managing director Robert Martin.

As of the end of 2016, BOC Aviation’s portfolio stood at 284 owned and managed aircraft, with an average age of 3.2 years and an average outstanding lease term of 7.3 years. Net lease yield was stable at 8.2%.

This year, BOC Aviation will take delivery of over 75 new aircraft, making it the lessor’s biggest year for deliveries.

Source: Cirium Dashboard