Atlantic Aviation Group ends tough year back in profit

Aircraft-maintenance firm, the Atlantic Aviation Group, has booked gains of €4.6m in write-downs on monies owed to creditors and on bank loans, as part of the rescue of the business.

The Shannon-based group — formerly Transaero Engineering — exited examinership earlier this year and new accounts show that it recorded pre-tax profits of €4m in the 16 months to the end of April this year.

The accounts, filed by Atlantic Aviation Group Ltd, show that the group booked a €3.2m gain from a reduction in the amount owed to creditors, and €1.4m from the reduction in the amount owed in bank loans.

Numbers employed at the firm have reduced from 272 to 235, and the redundancy costs, and other payments, totalled €873,496. Aer Lingus was one of the large creditors to take a hit from the rescue, receiving just 5% of the €1.8m it was owed.

The write-off of loans, redundancy payments and €467,161 in intra-group receivables resulted in a net exceptional gain for the firm of €3.37m. The directors of the slimmed-down aircraft-maintenance operation state that the “business is debt-free, profitable and the outlook is positive”.

The firm recorded an operating profit of €347,321 last year, compared to an operating loss of €1.68m in the 12 months to the end of December, 2013.

Revenues in the 16 months up to the end of April totalled €31.8m; up from €23.76m in the 12 months of 2013. The firm entered examinership in January of this year and exited in April.