Shrinking Revenue TrendSustained top-line deterioration, including a ~9% drop in 2025, signals weaker lease rates or lower utilization. Over a multi-month horizon this reduces internal cash available for fleet reinvestment, pressures dividend sustainability and constrains the company’s ability to rebuild scale or margin through growth.
Margin Compression From PeakA fall from ~30% to ~10% net margin points to structural pressure on lease yields, higher operating or financing costs, or adverse residual value trends. Persistently lower margins erode return on equity and reduce the firm's capacity to absorb lessee stress or fund growth without external capital.
Asset-heavy Profile And Historical LeverageA capital-intensive fleet and history of high leverage amplify downside if aircraft values weaken or lessee credit deteriorates. The structural concentration of value in a limited number of widebody assets increases exposure to utilization, residual-value and counterparty risks over medium-term industry cycles.