Bank of America just raised its EUR/USD forecast
WILMINGTON, OH—Air Transport Services Group, Inc. (NASDAQ:ATSG), currently trading at $22.27 and near its 52-week high of $22.33, released preliminary estimated unaudited financial results for the fourth quarter and full year ended December 31, 2024, today, disclosing key figures as part of a potential debt financing transaction related to a pending acquisition. According to InvestingPro analysis, the stock appears slightly overvalued at current levels.
For the year ended December 31, 2024, the company expects revenue to be between $1.958 billion and $1.962 billion, with Adjusted EBITDA (a non-GAAP financial measure) ranging from $545.1 million to $551.1 million.
These figures compare to an actual revenue of $2.070 billion and Adjusted EBITDA of $561.6 million for the year ended December 31, 2023. The company has shown a notable revenue decline of 5.96% over the last twelve months, though InvestingPro data reveals a strong share price performance with a 37.05% gain over the past six months.
The preliminary data for the three months ended December 31, 2024, indicates revenue is estimated to be between $513 million and $517 million, with Adjusted EBITDA expected to be in the range of $158 million to $164 million. In comparison, for the three months ended December 31, 2023, the company reported revenue of $517 million and Adjusted EBITDA of $129.9 million.
The company’s Adjusted EBITDA calculations exclude certain items, such as financial instrument revaluation gains or losses, non-service components of retiree benefit costs, and other specified items to provide a clearer picture of the financial performance of its core operations.
The information in this report is based on a press release statement from Air Transport Services Group, Inc. and is intended to provide investors with an update on the company's financial performance ahead of the completion of the acquisition by Stonepeak Nile Parent LLC and Stonepeak Nile MergerCo Inc.
The transaction is still subject to customary closing conditions, including regulatory approvals. For deeper insights into ATSG's financial health and additional analysis, investors can access the comprehensive Pro Research Report available on InvestingPro, which covers over 1,400 US equities with expert analysis and actionable intelligence.
In other recent news, Air Transport Services Group (ATSG) has agreed to be acquired by private equity firm Stonepeak in an all-cash deal valued at approximately $3.1 billion. The per-share acquisition price of $22.50 represents a 29.3% premium over ATSG's previous closing share price. The transaction is expected to be finalized in the first half of 2025, pending regulatory and shareholder approvals.
Following this development, Stifel downgraded ATSG from Buy to Hold and adjusted the price target to $22.50 from the previous $25.00, aligning it with the acquisition price. Stifel's downgrade reflects the belief that a higher bid, while possible, is considered improbable.
In terms of financial developments, ATSG reported robust growth in the second quarter of 2024 and raised its adjusted EBITDA forecast to approximately $526 million. Additionally, the company has expanded its agreement with Amazon (NASDAQ:AMZN), planning to add 10 more aircraft to their fleet by peak season. These recent developments highlight the ongoing changes and growth within ATSG.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.