I'd like to welcome everyone to AerSale's Second Quarter 2026 Earnings Call. A reconciliation of those non-GAAP metrics to the nearest GAAP metric can be found in the earnings presentation materials made available on the Investors section of the AerSale website at ir.aersale.com. This quarter, we continued to focus on executing our strategic priorities, monetizing our asset base, scaling our MRO operations, and growing recurring revenue streams to achieve more consistent earnings. That said, both revenue of $70.9 million and Adjusted EBITDA of $2.2 million came in below the prior year period.
Disregarding flight equipment sales, overall revenue decreased 4.2% year-over-year from lower USM sales. We view these as investments in future earnings power, not structural cost increases, and we're already seeing the operating leverage begin to improve. In Millington, our new CRJ700-900 multi-line maintenance program drove higher MRO revenue this quarter. These transactions will support the improvement in earnings and add available liquidity in the second half.
Let me now turn to segment performance in order to provide more insight into the results. Leasing revenue grew approximately 50% year-over-year to $12.4 million, reflecting an expanded engine and freighter lease portfolio. Higher lease rates and improved utilization continued to lift asset yields and support our goal of building a larger, more consistent recurring revenue base. This growth will also benefit from the addition of currently owned engines that are completing the repair cycle, as well as the revenue from the remaining 757 freighters.
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