Shannon aircraft leasing firm posts profit of €627m

A SHANNON-based aircraft leasing finance company recorded pre-tax profits of $900.6 million (€627 million) last year.

The pre-tax profit for the US-owned GE Capital Aviation Funding – with no employees – makes the firm one of the most profitable companies in the country.

The result, to the end of December last, is up by 2.7 per cent on the $876.5 million pre-tax profit recorded in 2009.

The profits recorded make GE Capital Aviation Funding more profitable in 2010 than well-known Irish companies such as CRH, Kerry Group and Ryanair.

In returns filed with the Companies Office, the directors of GE Capital Aviation Funding state that “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 figures state that GE Capital Aviation Funding paid $262,000 in corporation tax on its $900 million pre-tax profit.

The accounts show the company would have been liable to pay $112.5m in tax at the 12.5 per cent corporation rate.

However, the tax bill was reduced through $20.7 million being categorised as “non-taxable items” and group relief of $91.6 million.

The company’s principal activity is the provision of financing and lending to other related group companies in the aviation industry.

Its GE aviation subsidiaries are located in France, Sweden, Norway, Netherlands, Malaysia, Bermuda, India, Russia, Mexico, Brazil and the US.

The figures show the company’s income of $836.6 million represents the provision of financing and lending services, with all income derived from activities in Ireland.

A further tranche of $165.5 million came from “other financial income”.