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Pretax Profits of €606m for Aviation Leasing Firm
A Shannon-based company engaged in financing aircraft leasing recorded pretax profits of $765 million (€606 million) last year, new figures show.
The pretax profit of $765 million for the US-owned GE Capital Aviation Funding – with no employees – makes the company one of the most profitable public and private limited companies in the country.
The figures show that pretax profits decreased by 15 per cent from $900 million to $765 million, with impairment losses totalling $62 million, a factor behind the drop in profits in the 12 months to the end of December last.
The accounts also reveal that the firm’s profits were hit by lower “other financial income” last year declining from $165.4 million to $39.9 million.
All of the firm’s revenues are generated in Ireland and according to the directors’ report, “both the level of business and year end financial position were satisfactory and the directors expect that the present level of activity will be sustained for the foreseeable future”.
The pretax profits recorded make GE Capital Aviation Funding more profitable in 2011 than well-known Irish public limited companies such as the Kerry Group, Ryanair and Aer Lingus and private limited companies such as Vodafone Ireland.
The figures show that GE Capital Aviation Funding paid $379,000 in corporation tax on its pretax profit. The accounts show that the company would have been liable to pay $95.6 million in tax at the 12.5 per cent corporation tax rate.
However, the tax bill was reduced through group relief of $98.2 million and $3 million in non-taxable items.
The principal activity of the company is the provision of financing and lending to other related group companies in the aviation industry.
