Revenue increased by 15%; Profit before tax increased by 13%
Dubai, U.A.E., 2 August 2023 – Dubai Aerospace Enterprise (DAE) Ltd today reported its financial results for the six months ended June 30, 2023. The consolidated financial statements can be found here.
Selected Financial Highlights:
|Six Months Ended
Jun 30, 2023
Jun 30, 2022
|Profit for the period before exceptional items (1)||141.1||140.1|
|Exceptional Items, net of tax||–||(537.9)|
|Operating Cash Flow||643.3||678.5|
|Adjusted Pre-Tax Profit Margin (1)||22.4%||23.0%|
|Adjusted Pre-Tax Return on Equity (1)||10.3%||8.8%|
Jun 30, 2023
Dec 31, 2022
|Net Loans and Borrowings||7,602.2||8,045.9|
|Unsecured Debt Percentage||73.3%||69.8%|
Selected Business & Operational Highlights:
Commenting on the results, Firoz Tarapore, Chief Executive Officer of DAE, stated, “Our first half 2023 results continue to demonstrate the strong demand we are seeing in the market for aircraft from our airline customers. COVID-era deferral programs are being repaid ahead of schedule and secondary market aircraft valuations remain robust. This resulted in revenue growth of 15% compared to the first six months of 2022.
We have continued with our program of active liability management, repurchasing a further US$102 million of principal amount of our bonds during the quarter, bringing the total to US$307 million in the first six months of 2023. We had US$368 million of remaining bond repurchase authorization at the end of the quarter. Our liquidity coverage ratio remains exceptionally strong at 281%, and our available liquidity is US$2.3 billion.
Our profitability metrics continue to trend towards pre-pandemic levels. The resilience of our business model continues to be demonstrated by the strength of our credit quality and funding metrics in the quarter. In addition, during the quarter, Fitch Ratings revised its Outlook on DAE to Positive from Stable.
DAE Engineering continues to increase its global footprint and grow its widebody maintenance offering with expanding relationships in Asia Pacific and the Americas. During the quarter, Joramco announced that Joramco Academy, one of the few training institutions in the Middle East with EASA approval, is extending its training offering with expansion in Ghana through a partnership with locally based Aerojet Aviation.”
Webcast and Conference Call
In connection with the announcement of DAE’s results for the six months ended June 30, 2023, management will host a conference call on Wednesday, 02 August 2023 at 09:00 EDT / 14:00 BST / 17:00 GST / 21:00 SGT.
Full details of the call can also be accessed live via the link on DAE’s website: www.dubaiaerospace.com/investors.
Forward Looking Statements
Certain information contained in this Press Release may constitute “forward-looking statements” which can be identified by the use of forward-looking terminology such as “may”, “will”, “should”, “could”, “continue”, “expect”, “anticipate”, “predict”, “project”, “plan”, “estimate”, “budget”, “assume”, “potential”, “future”, “intend” or “believe” or the negatives thereof or other comparable terminology. These statements reflect DAE’s current expectations and assumptions and involve known and unknown risks regarding future events, results or outcomes and are not guarantees of future results or financial condition. Actual results, performance, achievements, or conditions may differ materially from those in the forward‐looking statements and assumptions as a result of a number of factors, many of which are beyond DAE’s control.
Non-IFRS Financial Information
This Press Release may include certain non-IFRS financial information, such as Adjusted EBITDA, not prepared in accordance with IFRS. Because of the limitations of Adjusted EBITDA, it should not be considered as a substitute for financial information prepared or determined in accordance with IFRS, as applicable. Where applicable, DAE compensates for these limitations by relying primarily on its IFRS results and using Adjusted EBITDA only for supplemental purposes.
* ENDS *
Dubai Aerospace Enterprise (DAE) Ltd is a globally recognized aviation services corporation with two divisions: DAE Capital and DAE Engineering. Headquartered in Dubai, DAE serves over 170 airline customers in over 65 countries from its seven office locations in Dubai, Dublin, Amman, Singapore, Miami, New York, and Seattle.
DAE Capital is an award-winning aircraft lessor and financier with an owned, managed, committed, and mandated to manage fleet of approximately 500 Airbus, ATR and Boeing aircraft with a fleet value exceeding US$17 billion. DAE Engineering provides regional MRO services to customers in Europe, Middle East, Africa, and South Asia from its state-of-the-art facility in Amman, Jordan, accommodating up to 17 wide and narrow body aircraft. It is authorized to work on 15 aircraft types and has regulatory approval from over 25 regulators globally. More information can be found on the company’s web site at www.dubaiaerospace.com.
For further information, please contact:
|Media||Fixed Income Investors|
|Arne Bevaart||Deion McCarthy|
|+971 4 428 9591||+971 4 428 9576|