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SEGMENT INFORMATION
 3 Months Ended
Mar. 31, 2025
Segment Reporting [Abstract]  
SEGMENT INFORMATION
12. SEGMENT INFORMATION
The key factors used to identify the reportable segments are the organization and alignment of our internal operations and the nature of our products and services. Our two reportable segments are (i) Aviation Leasing and (ii) Aerospace Products. The Aviation Leasing segment owns and manages aviation assets, including aircraft and aircraft engines, which it leases and sells to lessees, directly and also through its equity method investment. The Aerospace Products segment, through our maintenance facilities, equity method investment and exclusivity arrangements, develops and manufactures, repairs/refurbishes and sells aircraft engines and aftermarket components for the CFM56-5B, CFM56-7B and V2500 commercial aircraft engines. During the fourth quarter of 2023, the Company changed the composition of its operating segments to include V2500 engines within the Aerospace Products segment. Prior periods have been restated to reflect the change in accordance with the requirements of ASC 280, Segment Reporting. See Note 2 for additional information.
Corporate and Other primarily consists of debt, unallocated corporate general and administrative expenses, internalization fee and management fees and incentive compensation pursuant to the Management Agreement prior to the Internalization effective May 28, 2024. Additionally, Corporate and Other also includes results from an offshore energy business, which consists of vessels and equipment that support offshore oil and gas activities and production which are typically subject to operating leases. We sold the two offshore vessels in 2024.
The accounting policies of the segments are the same as those described in the summary of significant accounting policies; however, financial information presented by segment includes the impact of intercompany eliminations. Our Chief Executive Officer is our Chief Operating Decision Maker (“CODM”). Segment information is presented in the same manner that our CODM reviews the operating results in assessing performance and allocating resources. The CODM evaluates performance for each reportable segment based on net income (loss) attributable to shareholders and is used to monitor budget vs. actual results.
The CODM determined that segment asset information is not a key factor in measuring performance or allocating resources. Therefore, segment asset information is not included in the tables below as it is not provided to or reviewed by our CODM.
The following tables set forth certain information, which include all significant expenses reviewed by the CODM, for each reportable segment (unaudited):
I. For the Three Months Ended March 31, 2025
Three Months Ended March 31, 2025
Aviation LeasingAerospace ProductsCorporate and OtherEliminationsTotal
Revenues
Aerospace products revenue (1)
$— $365,063 $— $— $365,063 
Lease income68,467 — 4 — 68,471 
Maintenance revenue49,607 — — — 49,607 
Asset sales revenue18,939 — — — 18,939 
Total revenues$137,013 $365,063 $4 $— $502,080 
Expenses
Cost of sales19,959 228,755 — — 248,714 
Operating expenses7,426 5,687 19,325 — 32,438 
General and administrative— — 3,116 — 3,116 
Acquisition and transaction expenses2,905 1,132 3,255 — 7,292 
Depreciation and amortization55,061 3,584 917 — 59,562 
Total expenses85,351 239,158 26,613 — 351,122 
Other income (expense)
Interest expense— — (62,040)— (62,040)
Equity in (losses) earnings of unconsolidated entities (2)
(777)113 — (6,950)(7,614)
Other income (3)
43,489 — 452 — 43,941 
Total other income (expense)42,712 113 (61,588)(6,950)(25,713)
Income (loss) before income taxes94,374 126,018 (88,197)(6,950)125,245 
Provision for (benefit from) income taxes17,348 19,375 (13,864)— 22,859 
Net income (loss)77,026 106,643 (74,333)(6,950)102,386 
Less: Dividends on preferred shares— — 6,115 — 6,115 
Less: Loss on redemption of preferred shares— — 6,327 — 6,327 
Net income (loss) attributable to shareholders$77,026 $106,643 $(86,775)$(6,950)$89,944 
______________________________________________________
(1) Includes revenue of $100,638 for the three months ended March 31, 2025 for sales to the 2025 Partnership. See Note 11 for additional information.
(2) Includes the profit elimination of $(6,950) for the three months ended March 31, 2025 for sales to the 2025 Partnership within the Aerospace Products segment.
(3) Includes gain on sale of $10,870 for the three months ended March 31, 2025 for sales to the 2025 Partnership within the Aviation Leasing segment.
Summary information with respect to our geographic sources of revenue, based on location of customer and lessee, is as follows:
Three Months Ended March 31, 2025
Aviation LeasingAerospace ProductsCorporate and OtherTotal
Revenues
Africa$2,199 $9,482 $— $11,681 
Asia32,141 42,959 4 75,104 
Europe74,044 96,872 — 170,916 
North America18,263 207,432 — 225,695 
South America10,366 8,318 — 18,684 
Total revenues (1)
$137,013 $365,063 $4 $502,080 
______________________________________________________
(1) The United States, included in North America, Ireland, included in Europe, and Bermuda, included in North America, represent 26%, 19% and 11% of total revenues, respectively, based on the location of our lessees. No other country represents more than 10% of total revenues.
Presented below are the contracted minimum future annual revenues to be received under existing operating leases as of March 31, 2025:
March 31, 2025
Remainder of 2025$130,220 
2026119,499 
202799,075 
202885,577 
202954,851 
Thereafter62,270 
Total$551,492 
II. For the Three Months Ended March 31, 2024
Three Months Ended March 31, 2024
Aviation LeasingAerospace ProductsCorporate and OtherTotal
Revenues
Aerospace products revenue$— $189,057 $— $189,057 
Lease income50,913 — 2,327 53,240 
Maintenance revenue45,790 — — 45,790 
Asset sales revenue38,607 — — 38,607 
Total revenues$135,310 $189,057 $2,327 $326,694 
Expenses
Cost of sales31,889 110,915 — 142,804 
Operating expenses8,207 7,470 9,640 25,317 
General and administrative— — 3,683 3,683 
Acquisition and transaction expenses2,761 246 3,172 6,179 
Management fees and incentive allocation to affiliate — — 4,895 4,895 
Depreciation and amortization46,084 933 2,903 49,920 
Asset impairment962 — — 962 
Total expenses89,903 119,564 24,293 233,760 
Other income (expense)
Interest expense— — (47,707)(47,707)
Equity in losses of unconsolidated entities(146)(521)— (667)
Other income369 — 265 634 
Total other income (expense)223 (521)(47,442)(47,740)
Income (loss) before income taxes45,630 68,972 (69,408)45,194 
Provision for income taxes3,033 2,539 — 5,572 
Net income (loss)42,597 66,433 (69,408)39,622 
Less: Dividends on preferred shares— — 8,335 8,335 
Net income (loss) attributable to shareholders$42,597 $66,433 $(77,743)$31,287 
Summary information with respect to our geographic sources of revenue, based on location of customer and lessee, is as follows:
Three Months Ended March 31, 2024
Aviation LeasingAerospace ProductsCorporate and OtherTotal
Revenues
Africa$868 $5,686 $— $6,554 
Asia25,119 28,500 2,327 55,946 
Europe71,044 67,716 — 138,760 
North America20,847 81,372 — 102,219 
South America17,432 5,783 — 23,215 
Total revenues (1)
$135,310 $189,057 $2,327 $326,694 
______________________________________________________
(1) The United States, included in North America, and Ireland, included in Europe, represent 30% and 13% of total revenues, respectively, based on the location of our lessees. No other country represents more than 10% of total revenues.
III. Location of Long-Lived Assets
The following tables sets forth the geographic location of property, plant and equipment and leasing equipment, net:
March 31, 2025
(unaudited)		December 31, 2024
Property, plant and equipment and leasing equipment, net
Africa$23,571 $37,369 
Asia449,632 596,547 
Europe860,284 1,038,176 
North America544,316 592,675 
South America219,618 216,414 
Total property, plant and equipment and leasing equipment, net$2,097,421 $2,481,181 
________________________________________________________
(1) The United States, included in North America represents 19% of property, plant and equipment and leasing equipment, net as of March 31, 2025. The United States, included in North America, and Italy, included in Europe, represent 17% and 12% of property, plant and equipment and leasing equipment, net as of December 31, 2024, respectively. No other country represents more than 10% of property, plant and equipment and leasing equipment, net.