AAR releases 1Q 2012 results
AAR has posted 1Q fiscal year 2012 income of $17m (+£3m) and diluted earnings per share of $0.41 (+$0.05) from sales of $479.3m (+$74.9m).
However, consolidated gross profit margin was 15.6 per cent, down from 17.3 last year. AAR attributed the decrease to reduced volumes in the structures and systems segment, the sale of two aircraft from its portfolio and an “unfavourable mix in MRO”. The company says a 40 per cent increase in sales to the commercial sector was driven by “robust” demand for spare parts support plus the sale of the two aircraft, worth $33.3m. AAR says the aircraft sale is part of an ongoing commitment to reduce investment in aircraft sales and leasing. Excluding the disposal of the aircraft, sales growth amounted to 21 per cent. The company also reported a year-on-year improvement on the MRO side as a result of share gains and strong performance in the landing gear division.