Willis Lease Finance Corporation has announced its entry into the core engine module restoration sector, launching the Willis Module Shop as part of its strategic expansion. This move positions WLFC to directly compete with FTAI Aviation, which has established a significant presence in the module exchange market, particularly with CFM56 engines.
The company’s CEO, Austin Willis, highlighted that bringing module restoration in-house allows for cost reductions, improved turnaround times, and enhanced control over the maintenance process. The initiative follows industry trends where airlines increasingly favor module exchanges as a faster and more economical alternative to full engine overhauls, driven by capacity constraints and spare engine shortages.
FAIT Aviation has experienced notable growth in this area, with its module business roughly quadrupling its EBITDA over two years, reaching approximately $180 million in the latest quarter. Its scalable approach and ability to perform repairs at scale have given it a competitive edge, though its rivals, like WLFC, aim to catch up by leveraging their global maintenance capabilities.
The first core engine restoration by WLFC was completed at their Engine Repair Center in Florida, serving as a validation of their new module shop concept. Post-service testing revealed strong exhaust gas temperature (EGT) margin recovery, indicating the potential for reliable, high-quality repairs that can meet airline demands.
This strategic move consolidates WLFC’s position as a major player in engine leasing and maintenance, promising more integrated solutions for airline customers and advancing their competitive edge in the rapidly evolving engine overhaul market.
