Ireland's AerCap Q2 adjusted EPS beats on asset sales

Overview

• Ireland aviation lessor's Q2 revenue rose 15% yr/yr, driven by lease and asset sale gains

• Adjusted EPS for Q2 beat analyst expectations

• Company raised full-year 2026 adjusted EPS guidance

Outlook

• AerCap raises 2026 adjusted EPS guidance to ~$16.80, excluding further gains on sale

• Company expects sustained demand for air travel and ongoing aircraft supply constraints to support results

Result Drivers

• ASSET SALES - Net gain on sale of assets rose sharply, with $223 mln in gains from 38 owned assets sold in Q2

• MAINTENANCE RECEIPTS - Maintenance rents and other receipts increased 54% yr/yr to $177 mln in Q2

• LOWER INTEREST EXPENSE - Interest expense excluding mark-to-market of interest rate derivatives fell 7% yr/yr to $471 mln in Q2

Company press release: ID:nPnbq8G5Ga

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 10 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the corporate financial services peer group is "buy"

• Wall Street's median 12-month price target for AerCap Holdings NV is $175.00, about 13.6% above its July 28 closing price of $154.09

• The stock recently traded at 9 times the next 12-month earnings vs. a P/E of 9 three months ago

Reuters Recommended Reads

• July 28 - JetBlue Q2 adjusted loss per share beats estimates

• July 28 - Singapore Airlines reports Q1 loss on fuel costs

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)