AAR Corp. is an American provider of aircraft maintenance services to commercial and government customers worldwide. The company is headquartered in Wood Dale, Illinois, a Chicago suburb. The company employs about 6,000 people, operating in about 30 different countries. John Holmes is the current CEO.[2]
 | |
| Company type | Public |
|---|---|
| Industry | Aviation |
| Founded | 1951 |
| Founder | Ira Allen Eichner |
| Headquarters | , United States |
Area served | Worldwide |
Key people | John Holmes (president & CEO) |
| Revenue |  US$1.99 billion (2023) |
| US$90.2 million (2023) | |
| Total assets | US$1.1 billion (2023) |
| Total equity | US$1.1 billion (2023) |
Number of employees | 5,000 (2023) |
| Website | aarcorp |
| Footnotes / references Financials as of May 31, 2023[update]. References:[1] | |
AAR is an independent provider of aviation services. It sells both new and used parts and is one of the largest in the world for selling used parts. AAR has about $2.5 billion in revenue as of 2024. As of May 2023[update], the company operates major maintenance facilities in Indianapolis, Miami, Oklahoma City, Rockford, Illinois, Trois Rivieres, Quebec and Windsor, Ontario.[1]
AAR's component repair and landing gear repair services are conducted at owned facilities in Chonburi, Thailand and Amsterdam, Netherlands. It also has leased facilities in Brussels, Belgium and Crawley, United Kingdom. In addition, AAR operates sales offices from locations in London, Crawley, Paris, Rio de Janeiro, Tokyo, Shanghai, Singapore, and Dubai.[3]
History
editThe company was founded by Ira Allen Eichner in 1951, to supply radios and other equipment to the commercial aviation industry.[4] I.A. Allen Industrial was incorporated in 1955, renamed Allen Aircraft Radio (AAR) in 1962, and became AAR CORP. in 1970.[4] Also, in 1969, AAR began its aircraft maintenance business in Oklahoma City. In 1965, AAR expanded to Europe and opened a Singapore office in 1982.[5]
AAR organized its Aircraft Turbine Center, Inc. in 1979 after future CEO David P. Storch, Eichner's son-in-law, joined the company.[4]
In 2016, AAR Corp opened its Rockford, Illinois hanger, which AAR Corp is using to guide its current projects in Miami and Oklahoma City to ensure smoother start-ups.[6]
David P. Storch was CEO from 1996 to 2018. In 2018, John M. Holmes became CEO.[7]
In 2017, AAR was chosen as the prime contractor for a 15-year, $909 million landing gear award to provide total supply-chain management to support all U.S. Air Force and contractor requisitions received for all C-130, KC-135 & E-3 landing gear parts.[8]
In September 2019, the U.S. Naval Air Systems Command awarded AAR a $118M contract for procuring, modifying, and delivering two C-40 aircraft to the U.S. Marine Corps.[9]
During the Trump administration, AAR quadrupled its lobbying expenditures.[10] The company spent large sums at Trump-owned properties with the intent to get Trump to view the company more favorably.[10] From the time Trump took office until October 2020, AAR obtained 10 new federal contracts worth a total of $1.35 billion.[10]
In April 2021, AAR signed a multi-year agreement with United Airlines to provide heavy maintenance services in Rockford, Illinois. AAR plans to add up to 250 more aviation maintenance technician (AMT) jobs at the facility to meet increased demand from United.[11]
AAR announced its plans to buy Triumph's (TGI) Product Support Group for $725 million in an all-cash deal on December 21, 2023. The deal closed March 1, 2024, and included five facilities, four in the U.S. and one in Thailand.[12]
On March 27, 2024, AAR began construction on a new 114,000 sq. ft. maintenance, repair, and overhaul (MRO) facility at Miami International Airport (MIA), expanding its airframe MRO capacity by 33%. The facility is set to open in October 2025 and is expected to create over 200 jobs in Miami.[13]
In 2024, AAR expanded and extended its support of Sumitomo Precision Products on the V2500 engine component distribution.[14] In the same year, AAR has also started offering Parts Manufacturer Approvals (PMA).[15]
Financial trends
editAnnual financial highlights (U.S. Dollars in millions except per share data):
| For the year ending May 31 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 |
|---|---|---|---|---|---|---|---|---|
| Operating performance | ||||||||
| Net sales | 1,990.5 | 1,820.0 | 1,652.3 | 2,072.0 | 2,057.8 | 1,748.3 | 1,590.8 | 1,525.4 |
| Operating income | 133.9 | 106.9 | 85.2 | 41.3 | 98.3 | 86.0 | 82.3 | 75.5 |
| Diluted earnings per share from continuing operations | 2.55 | 2.19 | 1.31 | 0.71 | 2.40 | 2.11 | 1.51 | 1.30 |
| Financial position | ||||||||
| Working capital | 746.4 | 600.2 | 1,055.6 | 595.5 | 609.4 | 553.4 | 540.3 | |
| Total assets | 1,097.9 | 1,007.2 | 1,539.7 | 2,079.0 | 1,517.2 | 1,524.7 | 1,504.1 | 1,456.0 |
| Total debt | 382.5 | 191.2 | 135.2 | 602.0 | 142.9 | 178.9 | 156.2 | 145.3 |
| Stockholders' equity | 1,099.1 | 1,034.5 | 974.4 | 902.6 | 905.9 | 914.2 | 865.8 | 865.8 |
| Sources | [1] | [1] | [16] | [16] | [16] | [16] | [16] | [16] |
See also
editReferences
edit- ^ a b c d "2023 Form 10-K". U.S. Securities and Exchange Commission. July 18, 2023. Retrieved February 14, 2024.
- ^ "Mad Money – 4/19/24 | Audio Only". April 19, 2024 – via YouTube.
- ^ https://cdn.kscope.io/02d16761daff8f98931da40c46f10009.html
- ^ a b c "AAR Corp. History". Funding Universe. January 17, 2018. Archived from the original on January 17, 2018. Retrieved April 29, 2022.
- ^ "History Of AAR – 60th Anniversary". Aviation Week Network. Retrieved March 24, 2021.
- ^ "AAR's Rockford Experience Will Shape Future Expansion | Aviation Week Network". aviationweek.com.
- ^ AAR. "AAR CEO David P. Storch Announces Plans to Retire". www.prnewswire.com (Press release). Retrieved December 24, 2021.
- ^ "USAF awards $909m landing gear support contract to AAR". Airforce Technology. March 28, 2017. Retrieved September 20, 2021.
- ^ "SEC Form 10-K". www.sec.gov. July 21, 2021. Retrieved February 3, 2022.
- ^ a b c Confessore, Nicholas; Yourish, Karen; Eder, Steve; Protess, Ben; Haberman, Maggie; Ashford, Grace; LaForgia, Michael; Vogel, Kenneth P.; Rothfeld, Michael (October 10, 2020). "The Swamp That Trump Built". The New York Times. ISSN 0362-4331. Retrieved October 10, 2020.
- ^ Web Staff (April 22, 2021). "Rockford's AAR facility to become United Airlines maintenance hub, 250 jobs coming". 23 WIFR. Retrieved October 14, 2021.
- ^ "AAR Outlines Triumph MRO Purchase Synergies | Aviation Week Network". aviationweek.com.
- ^ Tamm, Heike (March 28, 2024). "AAR begins construction of new maintenance facility in Miami". AviTrader Aviation News.
- ^ "AAR Signs Expanded V2500 Component Distribution Agreement with Sumitomo | Aviation Maintenance Magazine". www.avm-mag.com. May 21, 2024.
- ^ "Triumph Acquisition Jump-Starting AAR's PMA Work | Aviation Week Network". aviationweek.com.
- ^ a b c d e f "Financial Reports". AAR CORP. Retrieved March 30, 2022.
External links
edit- Official website
- Business data for AAR Corp:
