Stock News in Focus: AeroCentury Corp. (NYSE:ACY)

On Friday AeroCentury Corp. (NYSE:ACY) stock plunged -22.46% and closed at 3.97. The stock opened the session at $4.95 and touched its highest price point at $5.21. Its recent trading capacity is 110258 shares versus to its average trading volume of 2147 shares. The company’s stock’s lowest price point for the session stood at $3.61.ACY traded as low as $ OTTW in the past 52 weeks, and shares hit its peak level to $12.92.

On Nov. 15, 2019, AeroCentury Corp. (NYSE American:ACY) an independent aircraft leasing company, declared a third quarter 2019 net loss of $8.2 million, or $(5.32) per share, compared to a net loss of $4.5 million, or $(3.16) per share, for the third quarter of 2018.  In the first nine months of 2019, the Company reported a net loss of $9.6 million, or $(6.22) per share, compared to net loss of $4.2 million, or $(3.00) per share, in the first nine months of 2018.

Third quarter and year-to-date 2019 results reflect the combined operations of AeroCentury and its subsidiary, JetFleet Holding Corp. (JetFleet), which was acquired by the Company on October 1, 2018.

The third quarter 2019 termination of the leases for and repossession of four aircraft from one of the Company’s lessees had a substantial impact on the Company’s results.  As a result of those events, the Company recognized maintenance reserves revenue of $17.0 million with respect to the four aircraft.  The Company also recorded impairment losses for the four aircraft of $22.3 million, based on appraised values for three of the aircraft and expected sales proceeds for the fourth aircraft.  Two of the repossessed aircraft were reclassified to held for sale during the third quarter.  During the third quarter, the Company also recorded impairment losses totaling $1.0 million for two other assets that are held for sale, based on expected sales proceeds.

The nine months ended September 30, 2019 also included $1.6 million of impairment losses, based on appraised values or expected sales proceeds, for two older turboprop aircraft and a spare engine.  One aircraft and the engine were sold during the third quarter and one aircraft is on a short-term operating lease.

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