📊 AYR Key Takeaways
Investment Thesis
Aircastle demonstrates strong absolute profitability with 19% net margins and solid operating cash flow of $367M, but the 6472% revenue spike raises concerns about data quality or one-time events rather than organic growth. The company's capital-intensive business model (capex of $331M) combined with high leverage (2.03x debt-to-equity) and declining EPS (-35% YoY) despite rising net income suggests underlying operational strain or significant dilution.
AYR Strengths
- Strong net profit margin at 19% indicating pricing power and cost management
- Positive free cash flow of $36.2M despite substantial capital expenditure requirements
- Substantial operating cash generation of $367.2M supporting debt servicing
- Solid stockholders equity base of $2.6B providing balance sheet cushion
AYR Risks
- Extreme revenue growth of 6472% YoY is anomalous and suggests data irregularities, acquisition, or non-recurring items rather than sustainable organic growth
- High financial leverage at 2.03x debt-to-equity with $5.3B long-term debt creates vulnerability in economic downturns
- Declining diluted EPS of -35% YoY despite rising net income indicates significant share dilution or unfavorable capital structure changes
- Minimal free cash flow margin of 5% leaves limited cushion after sustaining capital intensity of the leasing business
- Low ROE of 5.2% and ROA of 1.5% suggest inefficient capital deployment relative to equity and asset base
Key Metrics to Watch
- Breakdown of revenue composition to validate organic vs. inorganic growth components
- Diluted share count trend to understand EPS decline drivers
- Debt/EBITDA ratio and interest coverage to assess refinancing risk and debt serviceability
- Free cash flow sustainability and capital expenditure trends relative to fleet growth
- Net income quality - operating cash flow to net income ratio for earnings sustainability
AYR Financial Metrics
💡 AI Analyst Insight
The relatively thin 5.0% FCF margin may limit capital allocation flexibility. The current ratio below 1.0x warrants monitoring of short-term liquidity.
AYR Profitability Ratios
AYR vs Default Sector
How Aircastle LTD compares to Default sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
AYR Balance Sheet & Liquidity
AYR 5-Year Financial Trend
5-Year Trend Summary: Aircastle LTD's revenue has remained relatively flat over the 5-year period, with a 7% decline. The most recent EPS of $1.87 reflects profitable operations.
AYR Growth Metrics (YoY)
AYR Quarterly Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $193.6M | $16.1M | N/A |
| Q2 2025 | $216.7M | $16.1M | N/A |
| Q1 2025 | $205.2M | $16.1M | N/A |
| Q3 2024 | $193.6M | $5.5M | N/A |
| Q2 2024 | $168.0M | $5.5M | N/A |
| Q1 2024 | $205.2M | $16.1M | N/A |
| Q3 2023 | $238.7M | $5.5M | N/A |
| Q2 2023 | $168.0M | -$1.0M | N/A |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
AYR Capital Allocation
AYR SEC Filings
Access official SEC EDGAR filings for Aircastle LTD (CIK: 0001362988)
📋 Recent SEC Filings
❓ Frequently Asked Questions about AYR
What is the AI rating for AYR?
Aircastle LTD (AYR) has an AI rating of HOLD with 62% confidence, based on fundamental analysis of SEC EDGAR filings.
What are AYR's key strengths?
Strong net profit margin at 19% indicating pricing power and cost management. Positive free cash flow of $36.2M despite substantial capital expenditure requirements.
What are the risks of investing in AYR?
Extreme revenue growth of 6472% YoY is anomalous and suggests data irregularities, acquisition, or non-recurring items rather than sustainable organic growth. High financial leverage at 2.03x debt-to-equity with $5.3B long-term debt creates vulnerability in economic downturns.
What is AYR's revenue and growth?
Aircastle LTD reported revenue of $723.8M.
Does AYR pay dividends?
Aircastle LTD pays dividends, with $62.8M distributed to shareholders in the trailing twelve months.
Where can I find AYR SEC filings?
Official SEC filings for Aircastle LTD (CIK: 0001362988) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is AYR's EPS?
Aircastle LTD has a diluted EPS of $2.06.
How is the AI analysis conducted?
Our AI (Claude) analyzes publicly available SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports to evaluate financial health, profitability ratios, balance sheet strength, and growth metrics.