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Free Post Earnings Research Report: AAR's Sales Jumped 5.1%; Adjusted EPS Advanced 10%

LONDON, UK / ACCESSWIRE / July 18, 2018 / If you want access to our free earnings report on AAR Corp. (AIR), all you need to do is sign up now by clicking the following link www.active-investors.com/registration-sg/?symbol=AIR. AAR reported its fourth quarter fiscal 2018 operating and financial results on July 09, 2018. The airplane maintenance Company surpassed earnings expectation. Additionally, the Company re-affirmed its guidance for FY19. Register today and get access to over 1,000 Free Research Reports by joining our site below:


Active-Investors.com is focused on giving you timely information and the inside line on companies that matter to you. This morning, AAR most recent news is on our radar and our team decided to put out a fantastic report on the company that is now available for free below:


Earnings Highlights and Summary

For the fourth quarter fiscal 2018, AAR recorded sales of $473.5 million, up 5.1% from $450.5 million in Q4 FY17, reflecting continued growth in Aviation Services from the Company's industry-leading integrated supply chain solutions and parts supply activities. AAR's reported numbers lagged behind analysts' estimates of $476.2 million.

For Q4 FY18, AAR's consolidated gross profit margins increased to 17.9% from 17.3% in Q4 FY17, driven by strong Aviation Services sales volumes. The reported quarter sales to commercial customers represented 74.1% of consolidated sales compared to 76.2% of consolidated sales in the fourth quarter of last year. Sales to government and defense customers represented 25.9% of consolidated sales compared to 23.8% in the prior year's corresponding quarter.

AAR's selling, general, and administrative (SG&A) expenses as a percentage of sales were 13.1% in Q4 FY18 compared to 12.1% in Q4 FY17. In the reported quarter, the Company incurred approximately $2.5 million of severance and other restructuring costs.

AAR reported income from continuing operations of $18.1 million, or $0.52 per diluted share, in Q4 FY18. For Q4 FY17, the Company reported income from continuing operations of $16.3 million, or $0.48 per diluted share.

ARR's adjusted earnings from continuing operations were $0.54 per share during the reported quarter compared to $0.49 per share in the prior year's same quarter. The Company's earnings surpassed Wall Street's estimates of $0.54 per share.

For full fiscal year 2018, AAR's consolidated sales were $1.75 billion, reflecting an increase of 10.1% over sales of $1.59 billion in FY17.

For FY18, AAR's income from continuing operations was $73.7 million, or $2.11 per diluted share, compared to income from continuing operations of $52.0 million, or $1.51 per share, in FY17.On an adjusted basis, the Company's income from continuing operations was $62.7 million, or $1.79 per diluted share, in FY18 versus income from continuing operations of $52.5 million, or $1.53 per diluted share, in FY17.

AAR's Segment Results

During Q4 FY18, the Aviation Services segment's sales totaled $429.6 million compared to $421.3 million in Q4 FY17. The segment's gross profit came in at $76.4 million in the reported quarter versus $73.4 million in the prior year's comparable quarter.

For Q4 FY18, the Expeditionary services generated sales of $43.9 million compared to $29.2 million in Q4 FY17, while its gross profit came in at $8.3 million versus $4.5 million in the year earlier same quarter.

Cash Matters

During FY18, AAR returned $23.4 million to the Company's shareholders through dividends of $10.3 million or $0.30 per share and share repurchases of $13.1 million, or approximately 350,000 shares.


AAR reaffirmed its fiscal year 2019 guidance of sales in the range of $2.1 billion to $2.2 billion, diluted earnings per share from continuing operations in the range of $2.50 to $2.80, and adjusted EBITDA in the band of $180 million to $190 million.

Stock Performance Snapshot

July 17, 2018 - At Tuesday's closing bell, AAR's stock climbed 1.92%, ending the trading session at $46.17.

Volume traded for the day: 172.80 thousand shares.

Stock performance in the last three-month - up 3.24%; previous six-month period - up 12.55%; past twelve-month period - up 25.12%; and year-to-date - up 17.51%

After yesterday's close, AAR's market cap was at $1.51 billion.

Price to Earnings (P/E) ratio was at 26.81.

The stock has a dividend yield of 0.65%.

The stock is part of the Industrial Goods sector, categorized under the Aerospace/Defense Products & Services industry. This sector was up 0.5% at the end of the session.


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