Core Insights - Willis Lease Finance Corporation (WLFC) reported a strong financial performance for the third quarter of 2025, with total revenue reaching $183.4 million, a 25.4% increase compared to $146.2 million in the same period of 2024 [4][9] - The company declared a quarterly dividend of $0.40 per share, up from the previous $0.25 per share, reflecting confidence in its ongoing financial strength [2][4] Financial Performance - Total revenue for Q3 2025 was $183.4 million, up 25.4% from $146.2 million in Q3 2024 [4][9] - Core lease rent and maintenance reserve revenues totaled $152.6 million, marking a 33.1% increase from $114.7 million in Q3 2024 [4] - Lease rent revenue increased by $11.6 million, or 17.9%, to $76.6 million compared to $64.9 million in Q3 2024 [5][9] - Maintenance reserve revenue reached a record high of $76.1 million, up 52.8% from $49.8 million in the same quarter last year [9] Operational Highlights - The company recognized $29.5 million in long-term maintenance revenue during Q3 2025, a significant increase from $1.2 million in Q3 2024 [6] - The gain on the sale of leased equipment was $16.1 million, reflecting the sale of 10 engines and one airframe, compared to a gain of $9.5 million from 13 engines sold in Q3 2024 [7][9] - The book value of lease assets was $3,302.6 million as of September 30, 2025 [8] Balance Sheet Overview - As of September 30, 2025, the company's lease portfolio was valued at $2,888.5 million, with $2,700.4 million in equipment held for operating lease [9][10] - Total assets increased to $3,421.3 million from $3,297.2 million at the end of 2024 [15] - Total liabilities stood at $2,707.8 million, slightly up from $2,684.7 million at the end of 2024 [15] Market Context - The growth in WLFC's revenues is attributed to the ongoing strength of the aviation marketplace, as airlines continue to leverage the company's extensive portfolio of in-demand engines [5] - The demand for leasing models is driven by the high cost of new engines, which enhances the value of WLFC's maintenance capabilities and other programs [5]