Unlock Premium Data: Up to 50% Off InvestingProCLAIM SALE

Commercial pilot training unit drives profit beat at Canada's CAE

Published 2020-02-07, 09:15 a/m
Commercial pilot training unit drives profit beat at Canada's CAE
BA
-
EZJ
-
TXT
-
CAE
-

MONTREAL (Reuters) - Canada's CAE Inc (TO:CAE), the world's largest civil aviation training company, on Friday reported a better-than-expected profit, driven by strength in its commercial pilot training and simulators business.

CAE is inking deals to train pilots for airlines like easyjet Plc (L:EZJ), as air traffic rises.

Both CAE and U.S.-based Textron Inc's (N:TXT) TRU training division are also seeing an increase in demand for flight simulators after Boeing (N:BA) earlier this year recommended that airline pilots retrain before flying the grounded 737 MAX plane, which is being fixed by the planemaker for a software problem.

Revenue in CAE's civil aviation training business jumped about 22% to C$558.1 million in the third quarter ended Dec. 31.

CAE reaffirmed its full-year outlook for 30% growth in operating income in the civil aviation training business.

Montreal-based CAE said net income attributable to shareholders rose 26% to C$97.7 million ($73.4 million), or 37 Canadian cents per share, in the quarter.

Revenue rose 13% to C$923.5 million.

Analysts on average had expected quarterly earnings of 35 Canadian cents per share and revenue of C$939.7 million, according to IBES data from Refinitiv.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.