CAE Inc. secured a more than $270 million Canadian‑dollar contract to deliver the Future Air Mission Training System (F‑AMTS) for the Royal Australian Air Force under Project AIR5428 Phase 3. The 10‑year agreement will be implemented at RAAF Base East Sale in Victoria and will see CAE partner with Nova Systems, Adacel, DXC Technology, Milskil, MMCLD, Airflite and Seeing Machines to provide an integrated training solution that blends advanced learning environments, courseware and synthetic ground and airborne elements.
The deal expands CAE’s defense footprint in Australia, a market that has been a long‑standing partner since 1994. The contract is expected to generate a recurring revenue stream that will be reflected in CAE’s backlog and long‑term cash‑flow visibility. It also creates more than 40 skilled jobs in Victoria, underscoring the local economic impact of the project.
Management highlighted the strategic significance of the win. France Hébert, President of Defense & Security – Canada and International, said the contract “is a strategic investment in Australia’s national resilience and defence capability.” He added that the partnership “demonstrates CAE’s ability to lead complex, integrated projects that combine innovation, technical advantage and trusted partnerships.”
The F‑AMTS will train personnel for critical roles such as Airborne Electronics Analysts, Operations Officers, Air Mobility Officers, Air Traffic Controllers, Air Battle Managers, Maritime Patrol and Response Officers, Weapon Systems Officers and Electronic Warfare Officers. First graduates are slated for 2028, positioning the RAAF to modernize its air mission training capabilities under Project AIR5428 Phase 3.
The contract’s long‑term nature and the breadth of the training system reinforce CAE’s competitive position against other simulation providers. It also aligns with CAE’s broader strategy of leveraging technology and global training networks to drive sustainable growth in the defense sector.
The announcement follows CAE’s recent Q2 FY2025 earnings, which beat analyst expectations with an adjusted EPS of $0.23 versus a forecast of $0.20 and revenue of $1.24 billion versus $1.14 billion. The strong performance in the defense segment, which grew 14 % in revenue, helped build confidence in CAE’s execution and set the stage for the new contract win.
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.