BOC Aviation reports “robust” 1H growth

BOC Aviation reported net profit after tax (NPAT) of US$342 million for the first half of 2025. This represented a growth of 20% in core profits and was a record, excluding non-recurring items in 1H 2024. Total revenues and other income were US$1.2 billion, 6% ahead of 1H 2024, as all business lines saw improvements. During the six months ended June 2025, total assets grew to US$25.6 billion and total equity increased 2% to US$6.5 billion. We placed the largest order for new aircraft in our history, comprising 70 new Airbus A320NEO family and 50 Boeing 737-8 aircraft, taking our orderbook to a total of 351 aircraft. The Board of Directors has announced a distribution of US$0.1476 per share by way of interim dividend. This represents 30% of our first half 2025 NPAT, which is the same proportion of NPAT that we distributed as an interim dividend in prior years and reflects the ongoing strength of our cash flow and profitability. “We recorded our highest ever core first-half earnings, driven by rising demand in all our key businesses. Operating cash flow net of interest was a record US$1.0 billion and increased 10% compared with the first half of last year,” said Steven Townend, Chief Executive Officer and Managing Director, BOC Aviation. “Our 351 aircraft orderbook is one of the largest of any aircraft lessor and will provide the core of our future growth. Combined with total available liquidity of US$6.1 billion, we are well placed to achieve our target asset base of US$40 billion by 2030.” Financial Highlights Financial highlights for the six months ended 30 June 2025 are: Total revenues and other income of US$1,242 million, 6% ahead of last year’s US$1,174 million Net profit after tax of US$342 million, a 26% decline compared with US$460 million in the first half of 2024 which included US$175 million of non-recurring write-backs related to aircraft in Russia Earnings per share of US$0.49 The Board declared an interim dividend of US$0.1476 per share compared with US$0.1988 per share for the first half of 2024 Total assets increased to US$25.6 billion as at 30 June 2025, with net assets of US$6.5 billion Record first half operating cash flow net of interest of US$1.0 billion Maintained strong liquidity with US$533 million in cash and cash equivalents in addition to US$5.5 billion in undrawn committed credit facilities as at 30 June 2025 Portfolio and Operational Highlights As at 30 June 2025, the Company had: A total fleet of 834 aircraft and engines owned, managed and on order. An average aircraft age of 5.0 years and an average remaining lease term of 7.9 years for the 441 owned aircraft fleet1 Placed the largest aircraft order in its history for 120 new aircraft in the first half of 2025 and lifted its orderbook to 351 aircraft, scheduled for delivery through to the end of 2032 24 new aircraft and one engine deliveries in the first half of 2025 Sold 18 owned aircraft and one engine Signed 43 lease commitments in the first half of 2025 All orderbook aircraft scheduled for delivery before May 2027 placed with airline customers A customer base of 92 airlines in 45 countries and regions in the owned and managed portfolios Maintained owned aircraft2 utilisation at 100% for the first half of 2025 Cash collection from airline customers of 100.7% in the first half of 2025 A managed fleet comprising 32 aircraft Avolon delivers MAX to Virgin Australia Avolon, a leading global aviation finance company, has delivered the first of six Boeing 737-8 MAX aircraft it has agreed to sale and leaseback with Virgin Australia. Virgin Australia has been an Avolon customer since 2011 and Avolon already has eight aircraft on lease to the airline. The new aircraft will support Virgin Australia’s fleet growth and renewal plans. Paul Geaney, President and Chief Commercial Officer, Avolon commented: “We have a strong and long-standing relationship with Virgin Australia and are delighted to support their plans with 6 new 737-8 MAX aircraft. The scale of our orderbook and balance sheet give us the ability to provide our customer airlines with bespoke solutions to support their expansion and fleet transition.” Race Strauss, Chief Financial Officer at Virgin Australia, commented: “We value our ongoing partnership with Avolon and we are pleased to welcome our first 737-8 MAX with the lessor. We look forward to building on our relationship with Avolon through future deliveries.”  This delivery will be the 12th 737-8 MAX aircraft in Virgin Australia’s fleet. For Editorial Inquiries Contact: Editor Matt Driskill at [email protected] For Advertising Inquiries Contact: Head of Sales Kay Rolland at [email protected]