AAR Reports Strong Fiscal Year 2026 Growth Driven by Aftermarket Demand

The robust annual performance was fueled by a 24% rise in adjusted EBITDA, which climbed to $401 million. Chairman and CEO John M. Holmes attributed the results to a strategic realignment of the company’s operating segments, which now focus on Parts Supply; Repair, Engineering, and Software; Government Solutions; and Legacy Commercial Programs. The Parts Supply segment emerged as a primary growth engine, recording a 39% increase in sales during the final quarter.

Operational efficiency played a significant role in the year's success, with adjusted EBITDA margins expanding from 11.8% to 12.1% despite the short-term costs associated with integrating the HAECO Americas acquisition. The company’s focus on high-margin offerings and sustained demand for component maintenance and engineering services helped offset integration expenses. Looking ahead, AAR management projects continued sales growth in the low-double digits to low-teens for fiscal year 2027 as it streamlines its portfolio and winds down its legacy commercial programs business to sharpen its competitive edge.