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SMBC Leasing Projects Revenue Near €2 Billion in 2025

SMBC Aviation Capital Forecasts Revenue Near €2 Billion by 2025
Dublin-based aircraft leasing firm SMBC Aviation Capital has announced strong financial results for the year ending March 31, with revenue projected to approach €2 billion by 2025. The company reported a profit before tax of $707 million, representing a 20% increase year-on-year after adjusting for Russian insurance settlement proceeds received in both periods.
Financial Performance and Strategic Growth
Chief Financial Officer Aisling Kenny emphasized the company’s solid underlying performance, noting that lease revenues rose to just under $2 billion. Adjusted pre-tax income increased by $114 million year-on-year, reaching $677 million. Kenny highlighted the company’s ability to capitalise on robust secondary market demand, executing $2.6 billion in aircraft sales during the year, with an additional $2.6 billion committed for the upcoming year.
Throughout the financial year, SMBC Aviation Capital delivered 59 new aircraft valued at $3.4 billion. Lease revenue grew by $38 million to $1.973 billion, while servicing fee income climbed to $36.7 million, an increase of $19 million compared to the previous year. The company also completed the acquisition of Sumisho Air Lease Corporation, a transaction described by CEO Peter Barrett as “transformative.” Barrett stated that the acquisition positions SMBC Aviation Capital “at the centre of the world’s leading aviation financing platform.” The company now services over 170 airlines with a portfolio comprising 1,700 owned, serviced, and committed aircraft.
Market Outlook and Industry Challenges
SMBC Aviation Capital’s revenue projection comes amid intensifying competition within the aircraft leasing sector. Key competitors such as Air Lease and Global Gruppe—recently securing a €1.5 billion refinancing deal—are expected to challenge SMBC’s market position. This competitive environment may drive aggressive pricing strategies and enhanced service offerings as companies seek to expand their market share.
Industry observers and investors are closely watching the sector, particularly given broader pressures affecting aviation. For instance, Lufthansa recently reported €1.7 billion in additional fuel costs linked to the ongoing Middle East conflict, raising concerns about profitability across the industry. Such developments could influence investor sentiment and affect the financial outlook for leasing companies, including SMBC Aviation Capital.
Despite these challenges, SMBC Aviation Capital remains confident in its growth prospects, leveraging its expanded platform and strong financial results to navigate a rapidly evolving market landscape.

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