Overview

* AAR Corp ( AIR ) fiscal Q1 sales rise 12% to $740 mln, beating analyst expectations, per LSEG data

* Adjusted EPS for fiscal Q1 increases 27% to $1.08, exceeding estimates, per LSEG data

* Growth driven by Parts Supply segment, up 27%, and strategic investments

Result Drivers

* PARTS SUPPLY GROWTH - Parts Supply segment sales rose 27%, driven by new business and market share expansion in new parts Distribution

* INVESTMENTS - Co made strategic investments in Parts Supply to support growth and acquired Aerostrat to enhance Trax software capabilities

* HIGH DEMAND - High demand for Parts Supply offerings and sold-out capacity in Repair & Engineering indicate strong future sales potential

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q1 Sales Beat $739.60 $688.70

mln mln (4

Analysts

)

Q1 Beat $1.08 $0.98 (4

Adjusted Analysts

EPS )

Q1 EPS $0.95

Q1 Net $34.40

Income mln

Q1 $64.90

Operatin mln

g Income

Analyst Coverage

* The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 6 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

* The average consensus recommendation for the aerospace & defense peer group is "buy"

* Wall Street's median 12-month price target for AAR Corp ( AIR ) is $83.00, about 7.3% above its September 22 closing price of $76.90

* The stock recently traded at 17 times the next 12-month earnings vs. a P/E of 14 three months ago

Press Release:

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)