AAR Corp.
_________________________________________________________________________________
AAR Corp. Financial Snapshot
Operating Performance
Fast Facts
One AAR Place, Wood Dale, 60191,United The company reported revenue of US$1,775.78
Headquarters Address
States of America million during the fiscal year 2011 (2011). The
company's revenue grew at a CAGR of 13.74%
Telephone + 1 630 2272000
during 2007–2011, with an annual growth of 34.90%
over 2010. In 2011, the company recorded an
Fax + 1 630 2272039 operating margin of 7.82%, as against 7.19% in 2010.
Website www.aarcorp.com
Revenue and Margins
Ticker Symbol, Stock Exchange AIR, New York Stock Exchange
Number of Employees 5,800
Fiscal Year End May
Revenue (in US$ million) 1,775.78
SWOT Analysis
Strengths Weaknesses
Increasing backlogs Contracts subject to competition
Delays in the A400M military transport
Licenses and approvals
aircraft
Strong US MRO presence Weak operating performance
Varied aviation supply chain offerings
Opportunities Threats
Acquisition of Aviation Worldwide Decline aircraft maintenance
Services outsourcing
Growth in cargo market Government contract compliance
Positive outlook for global airline
Stringent regulations
industry
___________________________________________________________________________________________
AAR Corp. - SWOT Profile Page 1
AAR Corp.
_________________________________________________________________________________
TABLE OF CONTENTS
1 Business Analysis ................................................................................................................................... 5
1.1 Company Overview ................................................................................................................................................5
1.2 Business Description ..............................................................................................................................................5
1.3 Major Products and Services .................................................................................................................................6
2 Analysis of Key Performance Indicators ............................................................................................... 7
2.1 Five Year Snapshot: Overview of Financial and Operational Performance Indicators ..........................................7
2.2 Key Financial Performance Indicators .................................................................................................................10
2.2.1 Revenue and Operating Profit .........................................................................................................................10
2.2.2 Asset, Liabilities and Capex .............................................................................................................................11
2.2.3 Net Debt vs. Gearing Ratio ..............................................................................................................................12
2.2.4 Operational Efficiency ......................................................................................................................................13
2.2.5 Solvency ..........................................................................................................................................................14
2.2.6 Valuation ..........................................................................................................................................................15
2.3 Key Competitors ...................................................................................................................................................16
3 Mergers & Acquisitions and Partnerships ........................................................................................... 17
3.1 M&A and Partnerships Strategy ...........................................................................................................................17
4 SWOT Analysis ...................................................................................................................................... 20
4.1 SWOT Analysis - Overview ..................................................................................................................................20
4.2 Strengths ..............................................................................................................................................................20
4.3 Weaknesses .........................................................................................................................................................21
4.4 Opportunities ........................................................................................................................................................21
4.5 Threats .................................................................................................................................................................22
5 AAR Corp. - Company Statement ......................................................................................................... 23
6 History .................................................................................................................................................... 24
7 AAR Corp. - Key Employees ................................................................................................................. 26
8 Key Employee Biographies................................................................................................................... 27
9 Locations and Subsidiaries .................................................................................................................. 28
9.1 Head Office ..........................................................................................................................................................28
9.2 Other Locations and Subsidiaries ........................................................................................................................28
10 Appendix ................................................................................................................................................ 30
10.1 Methodology .........................................................................................................................................................30
10.2 Ratio Definitions ...................................................................................................................................................30
10.3 Disclaimer.............................................................................................................................................................34
___________________________________________________________________________________________
AAR Corp. - SWOT Profile Page 2
AAR Corp.
__________________________________________________________________________________________
List of Tables
Table 1: Major Products and Services....................................................................................................................................6
Table 2: Key Ratios - Annual ..................................................................................................................................................7
Table 3: Key Ratios - Interim ..................................................................................................................................................9
Table 4: Key Capital Market Indicators ..............................................................................................................................