March 30, 2015
AAR reports third quarter fiscal year 2015 results
AAR reported third quarter fiscal year 2015 consolidated sales of US$380.1m and net loss of US$34.5m after discontinuing operations of Telair Cargo Group and Precision Systems Manufacturing. For the third quarter of the prior fiscal year, the Company reported sales of US$399.8m and net income of US$17.9m. Third quarter fiscal year 2015 income from continuing operations was US$1.9m compared to US$16.9m net income in the prior year period. Third quarter results included a US$46.4m pre-tax impairment charge for the write down of the Precision Systems Manufacturing business to the expected sales value, a US$4.7m pre-tax impairment charge to reduce the carrying value of aircraft for sale by the Company’s airlift business, and US$2.5m of severance due to downsizing and costs related to a large government proposal. Sales in the Aviation Services segment increased 9.9% to US$318.4m partially due to growth in new distribution programs, and sales in Expeditionary Services were US$61.7mi, a decline of 44.0% in comparison to the prior period quarter sales of US$110.1m due to the decline at airlift.