Aviation services provider AAR has reported an income of $9.1 million, or $0.26 per diluted share, in its fourth quarter fiscal year 2024 results. Its sales totalled $656.5 million in the quarter.
The company's consolidated fourth quarter sales increased 19% over the same period a year prior. Its sales to commercial customers increased 20%, driven by its acquisition of Triumph's product support business as well as strong demand for its new parts distribution activities. Its sales to government customers increased by 15%. AAR's sales to commercial customers represents 70% of its consolidated sales.
""We delivered another record quarter driven by both record performance in our new parts distribution activities and the Triumph product support acquisition, which exceeded our expectations during the period,"" said AAR chairman, president and CEO John Holmes.
Its gross profit margin was 19.4% in the current quarter, remaining flat from 19.5% a year before. The slight decline was primarily due to a commercial programmes power-by-the-hour (PBH) agreement that was terminated during the quarter.
Selling, general, and administrative expenses were $94.8 million in the current quarter.
For the fiscal year 2024, its consolidated sales were $2.3bn, up 17% from the previous fiscal year. Income from continuing operations was $46.3 million, or $1.29 per diluted share.
Holmes commented: ""We continued to extend our leadership position in parts supply, broke ground on airframe maintenance expansions that will add 15% more capacity to our hangar network, integrated Trax, acquired product support, and increased our margins.""
The company expects the current fiscal year to have sustained robust demand as the life and high utilisation of current generation aircraft continues to extend. With this, AAR said it expects another year of strong sales and earnings growth to lie ahead for the company.
AAR reports fiscal year 2024 results
