AAR CORP SEC 10-Q Report
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AAR CORP, a leading provider of aviation services to commercial and government customers, has released its Form 10-Q report for the third quarter. The report highlights significant financial and operational growth, driven by strong demand in key segments and strategic expansions.
Financial Highlights
- Sales: $739.6 million, increased by 11.8% from the prior year quarter primarily due to strong demand and volume growth in the Parts Supply segment.
- Gross Profit: $133.7 million, increased by 14.1% over the prior year quarter, with a gross profit margin of 18.1%.
- Operating Income: $64.9 million, reflecting an increase from the prior year quarter, driven by improved performance in government and defense sales.
- Net Income: $34.4 million, up from $18.0 million in the prior year quarter, indicating strong overall financial performance.
- Earnings per share - basic: $0.96, compared to $0.50 in the prior year quarter, reflecting improved profitability.
- Earnings per share – diluted: $0.95, compared to $0.50 in the prior year quarter, indicating enhanced earnings performance.
Business Highlights
- Revenue Segments: The Parts Supply segment saw a significant increase in third-party sales, rising by 27.3% to $317.8 million, driven by strong demand for used serviceable material and new parts distribution.
- Geographical Performance: Sales in the U.S./Canada region increased to $519.1 million, reflecting strong demand in the domestic market. Sales in Asia/South Pacific also grew significantly to $89.7 million, indicating robust market expansion.
- New Production Launches: The company is expanding its airframe maintenance facilities in Miami and Oklahoma City to meet growing customer demand, with completion expected in early to mid-2026.
- Future Outlook: The company anticipates continued strength in aviation products and services, driven by value-added solutions for both commercial and government customers. Long-term growth is expected in the commercial aftermarket and government markets.
SEC Filing: AAR CORP [ AIR ] - 10-Q - Sep. 23, 2025