Feb 13 (Reuters) - Air Lease Corp ( AL ) on Thursday

reported lower quarterly revenue despite growing its fleet, due

primarily to a decline in end of lease revenue and fewer

aircraft returns during the last three months of 2024.

Aircraft lessors are benefiting from high rental revenue as

airlines look for aircraft that are in short supply due to

supply chain problems, along with lower production levels of

Boeing's ( BA ) 737 MAX and engine snags.

Lessors and airlines are still wrestling with delays in

deliveries from major aircraft manufacturers including Boeing ( BA )

and Airbus.

Air Lease ( AL ) said its revenue in the fourth quarter fell 3.7%

to $712.9 million and net income declined to $93 million from

$211 million in the same period of 2023, as it also made higher

interest payments on funds borrowed to finance aircraft

purchases.

But for the full year, the California-based lessor generated

record annual revenues, helped by the company's $5 billion in

aircraft purchases from its orderbook, and $1.7 billion in

aircraft sales, it said.

"Looking forward, we expect lease rates and aircraft

valuations to rise, supporting the value of our business," said

CEO John Plueger. "We remain optimistic about the ongoing

benefits of these trends, given aircraft shortages are

anticipated to persist for several years to come."

Plueger told an analyst call that he believed demand for

twin-aisle wide-body jets has surged faster than demand for

single-aisle planes over the past six months, reversing a

post-pandemic trend.

(Reporting By Allison Lampert in Montreal and Nathan Gomes in

Bengaluru; Editing by Anil D'Silva and Jamie Freed)