Dublin-headquartered aircraft leasing firm Avolon says it is in a strong position despite the challenges facing the aviation industry, which pushed it to a quarterly loss for the three months to the end of September.

Avolon posted a $41m loss for the third quarter, compared to a $161m profit in the same three months of last year.

Its revenue earned from aircraft leasing fell by 22.6% to $504m, while it took an impairement and accelerated amortisation charge of $42m.

However Avolon said it continued to have strong liquidity of $5.7 billion and recently raised $650m through the sale of unsecured notes.

It said the amount of lease revenue it was collecting improved in the third quarter, however four of its customers remain in arrears or have deferred payments.

Meanwhile the value of its assets increased by 8.6% to more than $31 billion, as its fleet grew by 27 aircraft compared to the same period of 2019.