New accounts filed by the Dublin-based Boc Aviation (Ireland) Ltd show that the pre-tax profit of $308.19m followed a pre-tax loss of $347.3m in the prior year – a positive swing of $655m.
The lessor returned to profit in 2023 as the $258m insurance settlement proceeds from a Russian insurance company contributed to revenues and other income increasing by 14pc from $623.2m to $710.6m.
The directors state that insurance proceeds were in respect of 11 of the 15 aircraft owned by the firm and detained in Russia.
The insurance settlement concerning the 11 aircraft coincided with the company’s professional fee costs increasing by 194pc from $2.7m to $7.98m.
The directors state that it is continuing to pursue claims in respect of aircraft currently or formerly detained in Russia.
In the prior year, the losses were due to the firm recording a net write-down of $420.5m concerning the 15 aircraft which had their leases terminated in March 2022 in compliance with sanctions imposed on Russia by several nations arising from its invasion of Ukraine.
In 2023, the company’s leases fee income was down marginally from $383.55m to $380.04m and the directors state that “in general, 2023 saw a return to growth across the industry with traffic recovery near to 2019 levels”.
At the end of December last, the company had a total of 120 owned and managed aircraft, including 88 owned aircraft.
The firm is a subsidiary of a public quoted firm based in Singapore and the company recorded a post-tax profit of $269.68m after incurring a corporation tax charge of $38.5m
The pre-tax profit takes account of non-cash depreciation costs of $167.67m and finance costs of $176.78m.
The firm last year recorded profits of $32.18m from $276.66m realised from the sale of aircraft.
The firm employs nine here and staff costs last year increased by $425,000, or 15pc, from $2.73m to $3.16m.
Directors’ pay last year declined from $1.09m to $818,000, which was mainly made up of $638,000 in emoluments.
The firm’s cash funds last year declined from $183.64m to $119.65m.
The business paid out no dividend last year and this followed no dividend paid out in 2021.
Total assets increased by 11pc to $5.38bn and the firm’s owned and managed aircraft were mainly made up of Boeing and Airbus aircraft.
Globally in 2023, Boc Aviation recorded revenues and other income of $2.6bn, which was a 7pc increase on 2022. The firm enjoyed record post tax profits of $764m.
The global business had 684 owned and managed and on order aircraft at the end of 2023.
The business recorded the revenues on the back of a customer base of 91 airlines in 45 countries and regions in the owned and managed portfolios.
At year end, the global entity had commitments to purchase 95 aircraft and had an order book of 224 aircraft.
