AerCap fuels Waha Capital profit rise, Boeing Capital Corporation profits slump in 4Q2010

Abu Dhabi-based leasing company Waha Capital, announced a 15% increase in full year net income to AED249 million in 2010.

Waha Capital stated, "Profitability resulted from the company's continued growth and improved performance across the business units, derived from restructuring activities, consolidation of operations and increased income generation in various areas".

In Nov-2010, Waha Capital acquired a 20% stake in Dutch aircraft leasing company AerCap Holdings. AerCap shares advanced 3.7% yesterday.

Boeing Capital Corporation profits slump in 4Q2010

Meanwhile, Boeing Capital Corporation (BCC) reported fourth-quarter pre-tax earnings of USD6 million, down 57% from the USD14 million earned in the previous corresponding period, as revenues dipped 12% to USD145 million.

For the full year, pre-tax earnings were USD152 million, up from USD126 million last year, despite a 3% fall in revenue to USD639 million.

During the quarter, BCC’s portfolio balance declined to USD4.7 billion, down from USD5.7 billion at the beginning of the year and USD5.0 billion at the end of third quarter, on run-off, pre-payments and asset sales. BCC’s debt-to-equity ratio was unchanged at 5.0-to-1.

The company stated it expects its aircraft finance portfolio will continue to reduce in 2011, "as new aircraft financing of less than USD500 million is expected to be lower than normal portfolio runoff through customer payments and depreciation".

Selected aviation suppliers daily share price movements (% change): 26-Jan-2011