AAR Corp. reported financial results for its first quarter of fiscal year 2026, ended August 31, 2025, on September 23, 2025. The company achieved consolidated sales of $739.6 million, a 12% increase year-over-year, with adjusted sales growing 17% organically, driven by a 27% increase in Parts Supply.
Adjusted diluted earnings per share rose to $1.08 from $0.85 in the prior year quarter, reflecting an 18% increase in adjusted EBITDA and an expansion of adjusted EBITDA margins to 11.7% from 11.3%. Adjusted operating margin also improved to 9.7% from 9.1% due to increased volume and profitability in new parts distribution activities.
John M. Holmes, AAR's Chairman, President and CEO, highlighted continued sales growth across all segments, with existing hangars having a multi-year backlog and new capacity in Oklahoma City and Miami (15% increase) already sold out for calendar 2026. The company expects continued margin improvement and positive operating cash flows for the remainder of fiscal year 2026.
The content on BeyondSPX is for informational purposes only and should not be construed as financial or investment advice. We are not financial advisors. Consult with a qualified professional before making any investment decisions. Any actions you take based on information from this site are solely at your own risk.