Joshua Strauss's questions to Willis Lease Finance Corp (WLFC) leadership • Q3 2024
Question
Joshua Strauss of Pekin Hardy Strauss questioned why the company's revenue per employee is significantly lower than competitor FTAI and asked if Willis is considering entering the engine parts manufacturing (PMA) space. He also revisited the topic of utilization rates.
Answer
Executive Austin Willis explained that the revenue per employee metric is influenced by two factors: the hands-on, high-touch nature of managing a portfolio with many short-term leases, and the more labor-intensive nature of its services businesses compared to a pure-play lessor. He reiterated his earlier comments that the company has historically avoided PMA due to remarketing concerns but continues to evaluate the market.