Last checked at 19 Feb 2015 07:00
Capital Lease Aviation Plc
("CLA" or "the Company")
HALF YEAR RESULTS TO 31 DECEMBER 2014
and Interim Management Report
19 February 2015
Capital Lease Aviation Plc (LSE: CLA), the aircraft leasing company, today announces unaudited financial statements for the Company and its subsidiaries for the six month period ended 31 December 2014.
Highlights:
· CLA Group total assets of US$94,136,241;
· Revenue of US$5,946,667;
· Group Net post-tax profits of US$1,047,113;
· Net assets of US$47,713,273;
· EPS (fully diluted) of 1.08 cents.
The results for the Group's half year ended 31 December 2014 (pursuant to International Financial Reporting Standards "IFRS") and reported in United States Dollars "US$" are as follows:
Consolidated 6 months ended 31 Dec 2014 | US$ | GBP Equivalent (1) |
Revenue | 5,946,667 | 3,657,795 |
Group Net post tax profits | 1,047,113 | 644,079 |
Total assets | 94,136,241 | 60,595,498 |
Net Assets | 47,713,273 | 30,713,034 |
EPS (fully diluted) | 1.08 cents | 0.66 pence |
Jeff Chatfield, Executive Chairman, said, "The Company has continued to grow net assets and restructure debt facilities. These achievements provide both short and long term financial support for the company strategy and increased shareholder value."
Notes: For the convenience of international shareholders, an additional column is included to show an equivalent value in Pounds Sterling "GBP".
1. In this announcement, the applicable exchange rate between US$ and GBP was taken to be the average exchange rate of 1: 0.6151 for Income Statement items and 1: 0.6437 for Statement of Financial Position items.
Directors' Review of Operations and Strategy
and Interim Management Report
Strategy, Background and Outcome
The strategic targets for management over the past six months were to strengthen our financial position, confirm the long term sustainable business model, remain profitable, actively assess aircraft and pursue new aircraft acquisitions.
Profit was in excess of US$1.0m generating earnings per share of 1.08 cents. The financial position of the group remains strong and it has been able to maintain a strong current asset position at the end of the period.
Key achievements in the period included:
- Refinancing of two A321-200s with a major European Bank;
- Lowering the cost of debt for the two aircraft from 6.23% to 4.22%
- Repayment of US$ 4.5m of junior debt on 31 December;
- Restructuring of the senior and junior loans has reduced the average cost of debt from 6.42% to 4.59%
Outlook and Risks
The outlook for CLA is positive with future periods expected to benefit from the recently reduced cost of capital. The Board remains optimistic and will continue to evaluate opportunities to grow the company.
CLA remains subject to the typical risks of the aircraft leasing industry along with the risks associated with obtaining finance, residual value risk and impairment in aircraft assets.
I would like to take this opportunity to thank all the shareholders for their continued support.
Jeff Chatfield
Executive Chairman
18 Feb 2015
Enquiries:
Capital Lease Aviation PLC Jeff Chatfield, Executive Chairman +65 9735 4151
Nominated AdviserJames Joyce, W H Ireland +44 207 220 1666
Company Stockbroker
W H Ireland +44 207 220 1670
Blytheweigh
Tim Blythe / Alex Shilov / Andrea Benton +44 207 138 3204
www.cl-aviation.com
CAPITAL LEASE AVIATION PLC
CONSOLIDATED STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME
FOR THE PERIOD 1 JULY 2014 TO 31 DECEMBER 2014
31 December 2014 | 31 December 2013 | ||
US$ | US$ | ||
Continuing operations | |||
Revenue | 5,946,667 | 6,150,000 | |
Other income | 68,092 | 5,527 | |
Other operating expenses | (2,378,274) | (2,248,226) | |
Expenses | |||
- Administrative expenses | (1,141,067) | (1,065,547) | |
- Finance expense | (1,334,113) | (1,535,427) | |
Profit before taxation | 1,161,305 | 1,306,327 | |
Taxation | (114,192) | (77,409) | |
Profit for the financial year | 1,047,113 | 1,228,918 | |
Other comprehensive income: | |||
Items that may be reclassified to profit or loss: | |||
Foreign currency translation loss | (12,600) | (49) | |
Other comprehensive income, net of tax | (12,600) | (49) | |
Total comprehensive income for the financial year, all attributable to equity holders of the Company | 1,034,513 | 1,228,869 | |
Earnings per share - continuing and total operations | |||
- Basic | 1.08 cents | 1.26 cents | |
- Fully diluted | 1.08 cents | 1.26 cents |
CAPITAL LEASE AVIATION PLC
CONSOLIDATED STATEMENT OF FINANCIAL POSITION
AS AT 31 DECEMBER 2014
| 31 December 2014 | 31 December 2013 | ||
| US$ | US$ | ||
ASSETS |
| |||
Current assets | ||||
Cash and cash equivalents | 3,137,818 | 5,994,980 | ||
Trade and other receivables | 11,107,958 | 1,016,855 | ||
Inventories | 2,840,000 | - | ||
Total current assets | 17,085,776 | 7,011,835 | ||
Non-current assets | ||||
Property, plant and equipment | 77,050,465 | 89,013,410 | ||
Total non-current assets | 77,050,465 | 89,013,410 | ||
Total assets | 94,136,241 | 96,025,245 | ||
EQUITY AND LIABILITIES | ||||
Current liabilities | ||||
Trade and other payables | 1,139,934 | 2,602,772 | ||
Provision for taxation | 19,392 | 65,603 | ||
Loans and borrowings | 6,069,628 | 11,715,805 | ||
Total current liabilities | 7,228,954 | 14,384,180 | ||
Non-current liabilities | ||||
Loans and borrowings | 37,657,733 | 33,837,703 | ||
Deferred tax liabilities | 1,536,281 | 1,505,835 | ||
Total non-current liabilities | 39,194,014 | 35,343,538 | ||
Capital and reserves | ||||
Share capital | 196,393 | 196,393 | ||
Treasury shares | (631,191) | - | ||
Share premium | 21,696,406 | 21,696,406 | ||
Asset revaluation reserve | 3,839,923 | 3,839,923 | ||
Foreign currency translation reserve | (10,959) | (453) | ||
Retained earnings | 22,622,701 | 20,565,258 | ||
Net equity | 47,713,273 | 46,297,527 | ||
Total equity and liabilities | 94,136,241 | 96,025,245 | ||
CAPITAL LEASE AVIATION PLC
CONSOLIDATED STATEMENT OF CASH FLOWS
FOR THE PERIOD 1 JULY 2014 TO 31 DECEMBER 2014
31 December 2014 | 31 December 2013 | ||
US$ | US$ | ||
Cash flows from operating activities | |||
Profit before taxation | 1,161,305 | 1,306,327 | |
Adjustments for: | |||
Depreciation expense | 2,377,909 | 2,241,570 | |
Interest expense | 1,331,113 | 1,535,427 | |
Interest income | (64,020) | (5,527) | |
Operating cash flows before changes in working capital | 4,806,307 | 5,077,797 | |
Movements on: | |||
Trade and other receivables | (7,151,658) | (318,003) | |
Trade and other payables | (911,027) | 811,276 | |
Cash flows from operations | (3,256,378) | 5,571,070 | |
Interest paid | (1,273,207) | (1,395,152) | |
Interest received | 64,020 | 5,527 | |
Corporation tax paid | (59,820) | (31,416) | |
Net cash flows (used in) from operating activities | (4,525,385) | 4,150,029 | |
Investing activity | |||
Purchase of property, plant and equipment | (59,749) | (2,004) | |
Net cash flows used in investing activity | (59,749) | (2,004) | |
Financing activities | |||
Purchase of treasury shares | (383,763) | - | |
Proceeds from loans and borrowings | 10,098,941 | - | |
Repayment of loans and borrowings | (8,102,105) | (3,870,009) | |
Cash flows from/(used in) financing activities | 1,613,073 | (3,870,009) | |
Effects of exchange rates on cash and cash equivalents | (12,600) | (49) | |
Net (decrease) increase in cash and cash equivalents | (2,984,661) | 277,967 | |
Cash and cash equivalents at the beginning of the financial period | 6,122,479 | 5,717,013 | |
Cash and cash equivalents at the end of the financial period | 3,137,818 | 5,994,980 | |
Approved by the board of Capital Lease Aviation PLC on 18th February 2015.
The above financial information has been extracted from the management accounts and has not been audited.
These interim statements have been prepared on a basis consistent with International Financial Reporting Standards (IFRS) except that IAS34 "Interim Financial Reporting" which is not mandatory for AIM companies, has not been adopted in the preparation of this statement.