By Elias Schisgall
AAR raised its outlook for sales growth after swinging to a profit in the third quarter, boosted by strong growth in its parts supply segment.
The aviation services company said Tuesday that it now expects fiscal full-year sales growth of 19%. It had previously guided for sales growth approaching 17%.
The company logged a third-quarter profit of $68 million, or $1.71 a share, compared with a loss of $8.9 million, or 25 cents a share, a year earlier.
Stripping out certain one-time items, the company posted adjusted earnings of $1.25 a share. Analysts surveyed by FactSet were expecting $1.15 a share.
Sales rose 25% to $845.1 million, ahead of analysts' expectations of $812.6 million. In the company's largest segment, parts supply, sales rose 45% to $392.5 million.
For the current fourth quarter, the company expects sales to grow between 19% and 21%.
AAR said it is closely monitoring the conflict in the Middle East, but said that air travel demand remains robust.
The company announced earlier Tuesday that it had received two Air Force contracts for pallet manufacturing and production services, together worth up to $450 million. Work on the contracts is expected to be completed by March 2032.
Write to Elias Schisgall at elias.schisgall@wsj.com
(END) Dow Jones Newswires
March 24, 2026 16:24 ET (20:24 GMT)
Copyright (c) 2026 Dow Jones & Company, Inc.
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