Air Transport Services (ATSG) Q3 Earnings: Taking a Look at Key Metrics Versus Estimates

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]