Aar(NYSE) AIR

AAR helps keep airplanes flying safely for airlines and military forces.

It supplies parts and fixes complex engine and airframe components.

These services help travel companies and governments manage fleets efficiently.

Parts, Repairs, and Digital Tools

• Parts Supply: Sales of new and used engine and airframe parts to aviation customers; accounts for 46% of sales in Q3 2026.
• Repair and Engineering: Maintenance and overhaul services for aircraft bodies and engine components; represents 31% of sales in Q3 2026.
• Integrated Solutions: Management of fleet logistics, inventory, and flight-hour repair programs; makes up 20% of sales in Q3 2026.
• Expeditionary Services: Engineering and building of shipping containers, mobile shelters, and transportation pallets; contributes 2% of sales in Q3 2026.

Strategic Buying and Business Moves

• Acquired HAECO Americas in November 2025 to increase aircraft body maintenance capacity in North Carolina and Florida.
• Purchased American Distributors Holding Co. (ADI) in September 2025 to expand electronic component distribution for manufacturers.
• Bought Aerostrat in August 2025 to add software that helps airlines plan and schedule complex maintenance tasks.
• Completed the acquisition of the Triumph Group Product Support business in March 2024 to grow component repair services.
• Sold the corporate headquarters in Wood Dale, Illinois during Q3 2026 as part of a move to Chicago.

How AAR Stands Out?

AAR combines mechanical repair services with digital supply chain software to streamline complex aviation operations. The company uses its global network and 5,700 employees to support both commercial airlines and military readiness.

AAR by the Numbers

• Sales reached $845.1 million in Q3 2026, up 24.6% from the same period in 2025.
• Net income turned positive at $68 million in Q3 2026, improved from a $8.9 million loss in Q3 2025.
• Free cash flow hit $90.8 million in Q3 2026, up from a $27.2 million outflow in the previous year.
• The company recorded a $35.7 million bargain purchase gain in Q3 2026 from its HAECO Americas acquisition.
• Operating cash flow reached $74.7 million in Q3 2026, improved from $18.7 million used in Q3 2025.

The Bottom Line

AAR has transitioned from a parts distributor into a comprehensive aviation services partner through aggressive acquisitions. Its focus on combining maintenance services with digital logistics tools creates a diversified platform for the aerospace industry.