Financial Performance - Revenues for Q4 2024 were $517 million, consistent with the same period in 2023[4] - GAAP Earnings per Share (diluted) from Continuing Operations for Q4 2024 were $0.21, compared to a loss of ($0.24) in Q4 2023[4] - Free Cash Flow for the full year 2024 was $228.1 million, a significant improvement from negative ($111.8) million in 2023[4] - Adjusted EBITDA for the full year 2024 was $549.4 million, down from $561.6 million in 2023[4] - Operating income increased to $41.797 million in Q4 2024, up 14.8% from $36.638 million in Q4 2023[15] - Net earnings for the year ended December 31, 2024, were $27.434 million, down 54.5% from $60.327 million in 2023[15] - Basic earnings per share for continuing operations were $0.23 in Q4 2024, compared to a loss of $0.24 in Q4 2023[15] - Adjusted pretax earnings (non-GAAP) for the three months ended December 31, 2024, were $39.811 million, compared to $19.806 million in the same period of 2023, reflecting a significant increase of 100.5%[21] - EBITDA from continuing operations (non-GAAP) for the year ended December 31, 2024, was $508.704 million, up from $499.162 million in 2023, indicating a growth of 1.1%[23] - Adjusted Earnings for Q4 2024 were $26,450,000, or $0.40 per share, up from $12,064,000, or $0.18 per share in Q4 2023[29] Cash Flow and Assets - Operating cash flows for Q4 2024 were $133.739 million, an increase of 4.4% from $127.988 million in Q4 2023[19] - Cash and cash equivalents at the end of Q4 2024 were $60.576 million, up from $53.555 million at the end of Q4 2023[19] - Net cash flows from operating activities for the year ended December 31, 2024, were $532.815 million, down from $654.081 million in 2023, a decrease of 18.5%[26] - Total assets as of December 31, 2024, were $3.894 billion, a slight increase from $3.882 billion in 2023[17] - Long-term debt decreased to $1.548 billion in 2024 from $1.708 billion in 2023, reflecting a reduction of 9.4%[17] - Total current liabilities decreased to $359.220 million in 2024 from $400.189 million in 2023, a reduction of 10.2%[17] Aircraft Operations and Leasing - The company added nine Boeing 767-300 freighter aircraft, all placed with external customers under long-term leases[5] - Aircraft leasing and related revenues decreased by 12% in Q4 2024, despite the addition of nine new freighter leases[7] - Revenue block hours for ATSG's airlines increased by 1% in Q4 2024 but declined by 6% for the full year compared to 2023[7] - Total aircraft leasing and related revenues for the three months ended December 31, 2024, were $114.657 million, down from $130.987 million in the same period of 2023, a decline of 12.4%[21] - ACMI services revenue for the three months ended December 31, 2024, increased to $377.761 million from $335.018 million in the same period of 2023, a growth of 12.7%[21] - The total number of Aircraft in Service increased from 130 (112 freighters and 18 passengers) as of December 31, 2023 to 148 (128 freighters and 20 passengers) as of December 31, 2024[33] - The company plans to increase the number of dry leased aircraft without Crew Management Integration (CMI) from 42 to 51 by December 31, 2024[34] - The number of aircraft available for lease rose from 4 as of December 31, 2023 to 5 as of December 31, 2024[33] - The total aircraft fleet increased from 139 to 147 from December 31, 2023 to December 31, 2024[34] - The company experienced a decrease in dry leased aircraft with CMI from 48 to 40 by December 31, 2024[34] Mergers and Acquisitions - ATSG is on track to close its acquisition by Stonepeak in the first half of 2025, with stockholder approval received on February 10, 2025[2] - The company incurred merger transaction fees of $8.284 million in Q4 2024, with no such fees reported in Q4 2023[15] - The company incurred transaction fees of $8.284 million related to the pending merger, which are not closely related to ongoing operating activities[23] Customer Incentives and Other - Customer incentives for Q4 2024 amounted to $6,660,000, up from $3,038,000 in Q4 2023, indicating a 119% increase[29] - The company reported a gain from warrant revaluation of $(695,000) in Q4 2024, compared to $(68,000) in Q4 2023[29] - Sustaining capital expenditures for the year ended December 31, 2024, were $112.946 million, down from $219.471 million in 2023, a reduction of 48.6%[26] - CAM's fourth quarter pretax earnings decreased by 44% to $12 million compared to $21 million in the prior-year quarter[7] - Earnings from Continuing Operations for Q4 2024 were $14,714,000, compared to a loss of $15,587,000 in Q4 2023, representing a significant turnaround[29]

Core Insights - GA Telesis Engine Services, through its joint venture GATES SPAH with Air Transport Services Group, has entered into a new agreement with GE Aerospace for on-wing maintenance support for CF6 and CFM56 engines [1][2][3] Company Overview - GATES USA SPAH is located in Wilmington, Ohio, and is a state-of-the-art MRO facility specializing in engine services, combining industry expertise with advanced technology [5] - Air Transport Services Group (ATSG) is a leading provider of aircraft leasing and air transportation solutions, with a diverse fleet including Boeing 767 and Airbus A321 freighters [6][7] Strategic Developments - The new agreement enhances GA Telesis' service portfolio and aligns with its strategy to expand Engine Services capabilities, reinforcing its position as a trusted partner in the aviation industry [3][4] - The partnership is strategically located near GE Aerospace's headquarters, facilitating fast turn times and efficient logistics [2]

Core Insights - Air Transport Services Group, Inc. (ATSG) reported disappointing third-quarter 2024 results, with earnings per share (EPS) of 13 cents falling short of the Zacks Consensus Estimate of 19 cents, representing a year-over-year decline of 59.4% [1] - Customer revenues of $471.3 million also missed the Zacks Consensus Estimate of $507.9 million, marking a 9.9% decrease year over year [2] - ATSG announced a deal with Stonepeak for an all-cash acquisition valued at $3.1 billion, with common stockholders set to receive $22.50 per share [3] Financial Performance - ATSG's revenues from Cargo Aircraft Management (CAM) grew by 2.5% year over year to $112.46 million, while revenues from ACMI Services and other operations decreased by 11.8% and 17.5% year over year to $321.97 million and $93 million, respectively [4] - Total operating expenses decreased by 5.7% to $449.57 million, and adjusted EBITDA fell by 5.2% year over year to $129.45 million [5] - As of September 30, 2024, ATSG had cash and cash equivalents of $44.87 million, an increase from $28.71 million in the prior quarter, and long-term debt of $1.56 billion [6] Industry Comparisons - Delta Air Lines (DAL) reported third-quarter 2024 earnings of $1.50 per share, missing the Zacks Consensus Estimate of $1.56, with a year-over-year earnings decrease of 26.11% due to high labor costs [8] - DAL's revenues of $15.68 billion exceeded the Zacks Consensus Estimate of $15.37 billion, reflecting a 1.2% year-over-year increase driven by strong air travel demand [9] - J.B. Hunt Transport Services, Inc. (JBHT) reported earnings of $1.49 per share, surpassing the Zacks Consensus Estimate of $1.42 but declining 17.2% year over year [10] - United Airlines Holdings, Inc. (UAL) posted EPS of $3.33, exceeding the Zacks Consensus Estimate of $3.10, with a year-over-year earnings decrease of 8.8% [11]

[PART I. FINANCIAL INFORMATION](index=5&type=section&id=PART%20I.%20FINANCIAL%20INFORMATION) [Financial Statements](index=5&type=section&id=Item%201.%20Financial%20Statements) This section presents the unaudited condensed consolidated financial statements for Air Transport Services Group, Inc. as of September 30, 2024, including balance sheets, statements of operations, comprehensive income, stockholders' equity, and cash flows, along with detailed notes [Unaudited Condensed Consolidated Balance Sheets](index=5&type=section&id=Unaudited%20Condensed%20Consolidated%20Balance%20Sheets) As of September 30, 2024, total assets slightly increased to $3.884 billion, total liabilities decreased to $2.416 billion, and total stockholders' equity increased to $1.468 billion Condensed Consolidated Balance Sheet Data (in thousands) | Account | September 30, 2024 | December 31, 2023 | | :--- | :--- | :--- | | **Total Current Assets** | $311,072 | $345,701 | | **Property and equipment, net** | $2,771,568 | $2,820,769 | | **Total Assets** | **$3,884,323** | **$3,882,090** | | **Total Current Liabilities** | $381,913 | $400,189 | | **Long term debt** | $1,561,874 | $1,707,572 | | **Total Liabilities** | **$2,416,084** | **$2,513,388** | | **Total Stockholders' Equity** | **$1,468,239** | **$1,368,702** | [Unaudited Condensed Consolidated Statements of Operations](index=6&type=section&id=Unaudited%20Condensed%20Consolidated%20Statements%20of%20Operations) The company reported a net loss of $3.3 million for Q3 2024 and net earnings of $12.7 million for the nine months ended September 30, 2024, driven by lower revenues and higher operating expenses Statements of Operations Highlights (in thousands, except per share data) | Metric | Three Months Ended Sep 30, 2024 | Three Months Ended Sep 30, 2023 | Nine Months Ended Sep 30, 2024 | Nine Months Ended Sep 30, 2023 | | :--- | :--- | :--- | :--- | :--- | | **Revenues** | $471,253 | $523,137 | $1,445,180 | $1,553,571 | | **Operating Income** | $21,681 | $46,030 | $86,006 | $163,194 | | **Net Earnings (Loss)** | $(3,327) | $17,172 | $12,720 | $75,335 | | **Diluted EPS** | $(0.05) | $0.24 | $0.20 | $0.98 | [Unaudited Condensed Consolidated Statements of Cash Flows](index=10&type=section&id=Unaudited%20Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) Net cash provided by operating activities decreased to $399.1 million for the nine months ended September 30, 2024, while net cash used in investing activities significantly decreased, and net cash used in financing activities increased due to higher debt repayments Cash Flow Summary (in thousands) | Activity | Nine Months Ended Sep 30, 2024 | Nine Months Ended Sep 30, 2023 | | :--- | :--- | :--- | | **Net Cash Provided by Operating Activities** | $399,076 | $526,093 | | **Net Cash (Used in) Investing Activities** | $(205,665) | $(572,424) | | **Net Cash (Used in) Provided by Financing Activities** | $(202,093) | $69,782 | | **Net (Decrease) Increase in Cash** | $(8,682) | $23,451 | | **Cash at End of Period** | $44,873 | $50,585 | [Notes to Unaudited Condensed Consolidated Financial Statements](index=11&type=section&id=Notes%20to%20Unaudited%20Condensed%20Consolidated%20Financial%20Statements) This section details accounting policies and financial data, including significant customer revenue concentration, debt obligations, aircraft commitments, segment performance, and the pending merger agreement with Stonepeak - The company's primary business involves leasing aircraft (CAM) and providing contracted airline operations (ACMI Services) to the air transportation, e-commerce, and package delivery industries[21](index=21&type=chunk)[22](index=22&type=chunk) Revenue Concentration by Major Customer | Customer | Nine Months 2024 | Nine Months 2023 | | :--- | :--- | :--- | | Amazon | 33% | 34% | | DoD | 29% | 31% | | DHL | 14% | 13% | - On May 6, 2024, the company entered into a Third Amended and Restated Air Transportation Services Agreement with Amazon's subsidiary (ASI) to operate 10 additional Boeing 767-300 aircraft provided by ASI, issuing new warrants to Amazon and modifying existing ones[46](index=46&type=chunk) - On November 3, 2024, ATSG entered into a merger agreement with affiliates of Stonepeak, under which it will be acquired for **$22.50 per share in cash** and become a privately held company, subject to stockholder and regulatory approvals[110](index=110&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=34&type=section&id=Item%202.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses a decline in revenue and earnings for the first nine months of 2024 due to lower flight operations, reduced aircraft lease revenue, and higher expenses, detailing segment performance, capital expenditures, liquidity, and the impact of recent agreements [Results of Operations](index=35&type=section&id=Results%20of%20Operations) Consolidated revenues for the nine months ended September 30, 2024, decreased by 7% to $1.45 billion, with net income falling sharply to $12.7 million, primarily due to lower revenues from passenger flight operations and certain aircraft leases, alongside higher expenses Adjusted Pre-Tax Earnings Reconciliation (Non-GAAP, in thousands) | Description | Nine Months Ended Sep 30, 2024 | Nine Months Ended Sep 30, 2023 | | :--- | :--- | :--- | | **Pre-Tax Earnings from Continuing Operations** | **$17,997** | **$99,830** | | Add: Non-service retiree benefit costs | $3,256 | $9,654 | | Add: Charges for non-consolidated affiliates | $2,202 | $4,398 | | Add: Contra-revenue from customer incentive | $19,875 | $14,777 | | Add: Net loss (gain) on financial instruments | $(134) | $(1,856) | | **Adjusted Pre-Tax Earnings (non-GAAP)** | **$43,196** | **$126,874** | - CAM segment pre-tax earnings for the first nine months of 2024 fell to **$46.9 million** from **$88.5 million** year-over-year, impacted by reduced 767-200 lease revenues, higher depreciation (**$25.1 million increase**), and higher allocated interest expense (**$11.5 million increase**)[148](index=148&type=chunk) - ACMI Services segment revenues for the first nine months of 2024 decreased by **$81.6 million** year-over-year, with block hours for customers' delivery networks falling **7%** and passenger service block hours dropping **15%**, leading to a pre-tax loss of **$25.0 million** compared to a **$34.1 million profit** in the prior year[154](index=154&type=chunk)[156](index=156&type=chunk) [Liquidity and Capital Resources](index=42&type=section&id=Liquidity%20and%20Capital%20Resources) As of September 30, 2024, the company had $44.9 million in cash and $458.3 million available under its revolving credit facility, with operating cash flow decreasing and capital expenditures significantly lower, while projecting sufficient liquidity for the next twelve months - Operating cash flow for the first nine months of 2024 was **$399.1 million**, down from **$526.1 million** in the prior year, due to lower operating results and less favorable working capital changes[171](index=171&type=chunk) - Capital expenditures for the first nine months of 2024 were **$221.0 million**, a sharp decrease from **$581.3 million** in the same period of 2023[172](index=172&type=chunk) - Total liquidity at September 30, 2024, stood at **$503.2 million**, comprising **$44.9 million** in cash and **$458.3 million** in available credit[178](index=178&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=44&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company's exposure to market risks, primarily from fluctuating interest rates and jet fuel prices, has not materially changed from its 2023 Form 10-K disclosures, with jet fuel price risk largely mitigated through customer agreements - The company's market risks, related to interest rates and jet fuel prices, have not materially changed since the 2023 Form 10-K[182](index=182&type=chunk) [Controls and Procedures](index=44&type=section&id=Item%204.%20Controls%20and%20Procedures) As of September 30, 2024, the company's Principal Executive Officer and Chief Financial Officer concluded that disclosure controls and procedures are effective, with no material changes to internal control over financial reporting during the third quarter of 2024 - Management concluded that as of September 30, 2024, the company's disclosure controls and procedures were effective[183](index=183&type=chunk) - No changes in internal control over financial reporting occurred during the quarter that have materially affected, or are reasonably likely to materially affect, its internal control[184](index=184&type=chunk) [PART II. OTHER INFORMATION](index=44&type=section&id=PART%20II.%20OTHER%20INFORMATION) [Legal Proceedings](index=44&type=section&id=Item%201.%20Legal%20Proceedings) The company is involved in various legal proceedings arising from its business operations, but management believes the ultimate liability will not be material to its financial condition or results of operations - The company does not expect pending legal proceedings to have a material impact on its financial condition or results of operations[184](index=184&type=chunk) [Risk Factors](index=45&type=section&id=Item%201A.%20Risk%20Factors) This section highlights new and updated risks, including those associated with amended Amazon agreements, such as potential failure to achieve anticipated benefits and dilutive effects of warrants, and significant risks related to the proposed merger with Stonepeak - Risks related to the amended Amazon agreements include not fully realizing expected benefits and the dilutive effect on EPS from warrants issued to Amazon[187](index=187&type=chunk) - There is a risk that the proposed merger with Stonepeak may not be completed due to failure to satisfy closing conditions, which could adversely affect the stock price and business operations[188](index=188&type=chunk) - The merger announcement could negatively impact business relationships with customers and partners and affect the company's ability to retain key personnel[190](index=190&type=chunk) - The Merger Agreement contains provisions, including a termination fee of up to **$55.3 million**, that may limit the company's ability to pursue alternative acquisition proposals[194](index=194&type=chunk) [Unregistered Sales of Equity Securities and Use of Proceeds](index=48&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) The company did not repurchase any common stock during Q3 2024, with $103.5 million remaining available under the 2022 Repurchase Program and $1.5 million under the 2023 program, restricted for 2017 Convertible Notes repurchase - No common stock was repurchased during the third quarter of 2024[197](index=197&type=chunk) - As of September 30, 2024, **$103.5 million** remains authorized for repurchase under the 2022 program[197](index=197&type=chunk) [Other Information](index=48&type=section&id=Item%205.%20Other%20Information) During the third quarter of 2024, no director or officer adopted or terminated any Rule 10b5-1 or non-Rule 10b5-1 trading arrangements - No director or officer adopted or terminated any pre-arranged trading plans during the quarter ended September 30, 2024[199](index=199&type=chunk) [Exhibits](index=49&type=section&id=Item%206.%20Exhibits) This section lists the exhibits filed with the Form 10-Q, including corporate governance documents, material contracts with Amazon, and certifications from the CEO and CFO - Exhibits filed include corporate governance documents, material contracts with Amazon, and required SOX certifications[200](index=200&type=chunk)

Core Insights - Air Transport Services (ATSG) reported a revenue of $471.25 million for the quarter ended September 2024, reflecting a year-over-year decline of 9.9% and an EPS of $0.13, down from $0.32 a year ago [1] - The revenue fell short of the Zacks Consensus Estimate of $507.86 million by 7.21%, and the EPS was 31.58% below the consensus estimate of $0.19 [1] Revenue Performance - Revenues from ACMI Services decreased by 11.9% year-over-year, totaling $321.97 million, compared to the average estimate of $360.13 million from four analysts [3] - Revenues from Other Activities were reported at $93 million, down 17.6% year-over-year, and below the average estimate of $102.44 million [3] - Internal revenues were reported at -$63.18 million, representing a 13.1% decline year-over-year [3] - CAM revenues showed a slight increase of 2.5% compared to the year-ago quarter, reported at -$56.19 million, significantly lower than the average estimate of $112.47 million [3] - Lease incentive amortization revenues decreased by 9.5% year-over-year, while aircraft leasing and related revenues increased by 2.1% [3] Earnings Performance - Pre-tax earnings from CAM were reported at $18.28 million, exceeding the average estimate of $16.23 million from three analysts [3] - Pre-tax earnings from Other Activities were reported at -$1.59 million, falling short of the average estimate of $0.43 million [3] - Pre-tax earnings from ACMI Services were reported at -$14.41 million, significantly below the average estimate of -$2.92 million [3] Stock Performance - Shares of Air Transport Services have increased by 44.9% over the past month, outperforming the Zacks S&P 500 composite, which saw a change of 4.9% [3] - The stock currently holds a Zacks Rank 2 (Buy), indicating potential for outperformance in the near term [3]

分组1 - Air Transport Services (ATSG) reported quarterly earnings of $0.13 per share, missing the Zacks Consensus Estimate of $0.19 per share, and down from $0.32 per share a year ago, representing an earnings surprise of -31.58% [1] - The company posted revenues of $471.25 million for the quarter ended September 2024, missing the Zacks Consensus Estimate by 7.21%, and down from $523.14 million year-over-year [2] - The stock has added about 25.2% since the beginning of the year, matching the S&P 500's gain of 25.2% [3] 分组2 - The earnings outlook for Air Transport Services is crucial for investors, as it includes current consensus earnings expectations for upcoming quarters and any recent changes to these expectations [4] - The estimate revisions trend for Air Transport Services is currently favorable, resulting in a Zacks Rank 2 (Buy) for the stock, indicating expected outperformance in the near future [6] - The current consensus EPS estimate for the upcoming quarter is $0.30 on revenues of $524.16 million, and for the current fiscal year, it is $0.84 on revenues of $2.01 billion [7] 分组3 - The Transportation - Air Freight and Cargo industry is currently in the bottom 31% of the Zacks industries, which may impact the performance of Air Transport Services [8]

Financial Performance - Revenues for Q3 2024 were $471 million, a decrease of 10% from $523 million in Q3 2023[1] - GAAP Loss per Share from Continuing Operations was ($0.05), compared to Earnings per Share of $0.24 in the same quarter last year[1] - Adjusted Pretax Earnings were $10.7 million, down from $31.1 million, reflecting a decline of 65%[1] - Operating income for the three months ended September 30, 2024, was $21,681,000, down 53.2% from $46,030,000 in the prior year[16] - Net loss for the three months ended September 30, 2024, was $(3,327,000), compared to net earnings of $17,172,000 for the same period in 2023[16] - Adjusted Earnings for the nine months ended September 30, 2024, were $8,884 million, down from $23,533 million in 2023, reflecting a decrease in Adjusted Earnings Per Share from $0.32 to $0.13[26] Cash Flow and Assets - Free Cash Flow for Q3 2024 was $86.4 million, a significant improvement from negative $51.6 million in Q3 2023[1] - Operating cash flows for the three months ended September 2024 were $135,555, compared to $117,517 for the same period in 2023, representing a 15.5% increase[18] - Cash and cash equivalents decreased to $44,873,000 as of September 30, 2024, from $53,555,000 at December 31, 2023[17] - Total current assets decreased to $311,072,000 as of September 30, 2024, from $345,701,000 at December 31, 2023[17] - Long-term debt decreased to $1,561,874,000 as of September 30, 2024, from $1,707,572,000 at December 31, 2023[17] - Total assets increased slightly to $3,884,323,000 as of September 30, 2024, from $3,882,090,000 at December 31, 2023[17] Aircraft Operations - Aircraft leasing revenues increased by 3% due to eleven additional freighter leases, despite the return of nine 767-200 freighters and six 767-300 freighters[3] - The company added four Boeing 767-300 freighter leases during Q3 2024, with plans to execute three new leases for CAM-owned freighters by year-end 2024[2] - The total number of aircraft in service as of September 30, 2024, is projected to be 123, an increase from 112 in the same period of 2023[28] - The company plans to have 129 aircraft in service by December 31, 2024, with 20 of them being passenger aircraft[28] - The number of aircraft available for lease is projected to increase from 2 in September 2024 to 7 by December 31, 2024[28] - The total aircraft in cargo modification as of September 30, 2024, includes 3 B767-300 and 6 A321 aircraft[28] Expenses and Losses - ACMI Services reported a pretax loss of $14 million, compared to pretax earnings of $12 million in Q3 2023, with revenue block hours decreasing by 13%[4] - Segment depreciation expense increased by $11 million and interest expense by $2 million compared to the prior-year quarter[3] - The company experienced a loss from affiliates related to the Hangar foam incident amounting to $658 million for the three months ended September 30, 2024[26] - Principal payments on secured debt for the three months ended September 2024 were $(155,219), compared to $(90,217) in the same period of 2023, an increase of 72.2%[18] Shareholder Information - The company entered into an acquisition agreement with Stonepeak for an enterprise valuation of approximately $3.1 billion, with shareholders receiving $22.50 per share in cash[1] - The weighted average shares diluted for the three months ended September 30, 2024, were 65,036 million, down from 72,672 million in 2023[26] - The company reported an increase in additional paid-in capital to $917,181,000 as of September 30, 2024, from $836,270,000 at December 31, 2023[17] - Stockholders' equity increased to $1,468,239,000 as of September 30, 2024, from $1,368,702,000 at December 31, 2023[17] - Customer incentive of $6,659 million for the three months ended September 30, 2024, compared to $3,290 million in the same period of 2023[26]

Core Viewpoint - The upcoming earnings report for Air Transport Services (ATSG) is anticipated to show a significant decline in quarterly earnings and revenues compared to the previous year [1] Financial Performance - Quarterly earnings are expected to be $0.19 per share, reflecting a 40.6% decrease year over year [1] - Analysts forecast revenues of $507.86 million, indicating a 2.9% decline from the same quarter last year [1] Analyst Revisions - The consensus EPS estimate has been revised 0.8% higher in the last 30 days, indicating a collective reevaluation by analysts [2] - Changes in earnings projections are crucial for predicting investor reactions, with empirical studies showing a strong link between earnings estimate trends and short-term stock price movements [3] Revenue Estimates - Analysts predict 'Revenues- ACMI Services' to be $360.13 million, down 1.4% year over year [5] - 'Revenues- Other Activities' are expected to reach $102.44 million, reflecting a 9.2% decrease from the previous year [5] - 'Revenues- CAM' is projected at $108.50 million, indicating a 1.1% decline from the year-ago quarter [5] Pre-Tax Earnings and Expenses - 'Pre-Tax Earnings- CAM' is estimated at $16.23 million, down from $23.31 million in the same quarter last year [6] - 'Pre-Tax Earnings- ACMI Services' is projected to be -$2.92 million, compared to $12.41 million a year ago [7] - Analysts forecast 'Fuel Expenses' to be $69.00 million, down from $79.02 million in the previous year [7] Stock Performance - Over the past month, ATSG shares have increased by 47.6%, significantly outperforming the Zacks S&P 500 composite, which rose by 3.2% [7] - ATSG currently holds a Zacks Rank 2 (Buy), suggesting potential for outperformance in the near future [7]

Core Viewpoint - Air Transport Services Group (ATSG) is expected to report its third-quarter 2024 results on November 8, with mixed earnings history and flat earnings estimates for the upcoming quarter [1][4]. Financial Performance - The Zacks Consensus Estimate for ATSG's revenues in the upcoming quarter is $509.8 million, reflecting a 4.4% increase from the third quarter of 2023 [2]. - The estimate for ACMI (aircraft, crew, maintenance, and insurance) Services indicates a 4.2% quarter-over-quarter increase, while cargo aircraft management (CAM) is anticipated to generate $110.9 million [2]. - ATSG's Q2 earnings were 19 cents per share, surpassing the Zacks Consensus Estimate of 16 cents but showing a significant year-over-year decline of 66.7% [5]. - Customer revenues for Q2 were $488.4 million, missing the Zacks Consensus Estimate of $512.3 million and falling 7.7% year over year [5]. Segment Performance - ATSG operates primarily through two segments: CAM and ACMI Services. Revenues from ACMI Services decreased by 7.7% year over year to $338.2 million, while revenues from CAM and other operations declined by 6.2% and 11.9% to $104.5 million and $97.64 million, respectively [6]. Cost Management - The company's cost-cutting initiatives are expected to positively impact its bottom line in the upcoming quarter [3]. Earnings Prediction Model - The current model does not predict an earnings beat for ATSG, with an Earnings ESP of 0.00% and a Zacks Rank of 2 (Buy) [4].

Core Viewpoint - Monteverde & Associates PC is investigating Air Transport Services Group, Inc. regarding a proposed merger with Stonepeak Nile Parent LLC, offering shareholders $22.50 per share [1]. Group 1: Company Overview - Air Transport Services Group, Inc. is involved in a merger proposal with Stonepeak Nile Parent LLC [1]. - Shareholders of Air Transport Services Group will receive $22.50 per share of common stock they own under the merger agreement [1]. Group 2: Legal Firm Information - Monteverde & Associates PC is recognized as a Top 50 Firm in the 2018-2022 ISS Securities Class Action Services Report and has a successful track record in recovering money for shareholders [1]. - The firm operates from the Empire State Building in New York City and specializes in class action securities litigation [2].