Willis Lease Finance Corporation (WLFC) has reported 11.07 percent fall in profit for the quarter ended Dec. 31, 2016. The company has earned $2.71 million, or $0.39 a share in the quarter, compared with $3.04 million, or $0.39 a share for the same period last year.     

Revenue during the quarter went up marginally by 0.53 percent to $55.48 million from $55.18 million in the previous year period. Gross margin for the quarter contracted 148 basis points over the previous year period to 83.60 percent. Total expenses were 93.41 percent of quarterly revenues, up from 87.94 percent for the same period last year. That has resulted in a contraction of 547 basis points in operating margin to 6.59 percent.

Operating income for the quarter was $3.66 million, compared with $6.66 million in the previous year period.

"I am very pleased that on a pre-tax basis our financial performance in 2016 was our most profitable since 2009," said Charles F. Willis, chairman and chief executive officer. "Our fourth quarter and full year results reflect a combination of improved utilization, growth in the lease portfolio and the continued effective management of our assets all contributing to record total revenues of over $207 million. We also broadened our sources of equity through the issuance of preferred equity, which will serve our growth plans well."

Debt moves up marginally
Willis Lease Finance Corporation has witnessed an increase in total debt over the last one year. It stood at $900.26 million as on Dec. 31, 2016, up 3.94 percent or $34.17 million from $866.09 million on Dec. 31, 2015.  Total debt was 67.29 percent of total assets as on Dec. 31, 2016, compared with 66.19 percent on Dec. 31, 2015. Debt to equity ratio was at 4.59 as on Dec. 31, 2016, up from 4.12 as on Dec. 31, 2015.