CAE reports second quarter fiscal 2027 results
Key Highlights
- ➤Adjusted EPS $0.33, up 17.9% year-over-year
- ➤Fiscal 2027 adjusted EPS outlook raised to $1.28-$1.35
- ➤Fiscal 2027 margin outlook raised to 14.9%-15.4%
- ➤Defense adjusted operating income $75.4M, up 43.3% year-over-year
- ➤Flightscape sale to SITA expected to generate US$500 million
Expert Statements
Matthew Bromberg, President and CEO of CAE
“We delivered another solid quarter in Q2, with improved adjusted profitability, strong free cash flow and continued progress on our transformation priorities.”
Matthew Bromberg, President and CEO of CAE
“Given our performance year-to-date and increased confidence in our ability to execute our second-half plan, we are raising our full-year fiscal 2027 outlook for adjusted EPS and adjusted segment operating income margin.”
Matthew Bromberg, President and CEO of CAE
“We remain focused on advancing our transformation and building a higher-growth, higher-return CAE.”
Matthew Bromberg, President and CEO of CAE
“In Q2, Civil results were in line with our expectations, with strong business aviation performance and higher year‑over‑year utilization across both commercial and business aviation training offset by a lower contribution from Civil products.”
Matthew Bromberg, President and CEO of CAE
“Defense delivered another strong quarter, with double-digit year-over-year growth in adjusted segment operating income and continued underlying margin expansion.”
Matthew Bromberg, President and CEO of CAE
“We also made progress across each of our three transformation priorities: portfolio, capital discipline, and operational performance.”
Matthew Bromberg, President and CEO of CAE
“In October, we announced an agreement to sell Flightscape to SITA for US$500 million.”
Matthew Bromberg, President and CEO of CAE
“We expect the transaction to close in the first half of calendar year 2027 and intend to deploy the proceeds in accordance with our disciplined capital allocation priorities, including funding our transformation, supporting growth in our core businesses, and returning capital to shareholders.”
Matthew Bromberg, President and CEO of CAE
“In Q2, we accelerated our share repurchase activity, bringing year-to-date repurchases through the second quarter to approximately 3.0 million shares for $106.1 million.”
Matthew Bromberg, President and CEO of CAE
“Overall, our second quarter performance included strong execution, Defense margin expansion, higher free cash flow, increased share repurchases and meaningful progress on our transformation.”
Matthew Bromberg, President and CEO of CAE
“We are building a more disciplined CAE, with stronger margins and cash generation supporting long-term value creation.”
Matthew Bromberg, President and CEO of CAE
“We look forward to providing further details on our strategy, transformation and growth opportunities at CAE's Analyst and Investor Day on February 25, 2027.”
* Revenue of $1,204.7 million vs. $1,236.6 million in prior year, down 2.6% year-over-year * EPS of $0.18 vs. $0.23 in prior year and adjusted EPS((1)) of $0.33 vs. $0.28 in prior year * Fiscal 2027 outlook raised for adjusted EPS((1)) to a range of $1.28 to $1.35 and adjusted segment operating income margin((1)) to a range of 14.9% to 15.4% * Free cash flow((1)) of $179.9 million and net debt-to-adjusted EBITDA((1)) of 2.16x * Repurchased 3.0 million common shares for $106.1 million year-to-date through the end of the second quarter * Transformation on track, including the expected sale of Flightscape for US$500 million MONTREAL, Nov. 11, 2026 /PRNewswire/ -- (Nasdaq: CAE) (TSX: CAE) - CAE Inc. (CAE or the Company) today reported its financial results for the fiscal second quarter ended September 30, 2026. For more information, please refer to the annex for the second quarter fiscal 2027 available at cae.com/investors .
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