CAE INC - CAE STOCK NEWS

CAE reported Q2 fiscal 2025 results with revenue of $1,136.6 million, up 8% from $1,050.0 million last year. EPS from continuing operations decreased to $0.16 from $0.17, while adjusted EPS was $0.24 vs. $0.26. Operating income increased 21% to $118.1 million. The company secured $3.0 billion in adjusted order intake, resulting in a record $18.0 billion adjusted backlog. Post-quarter, CAE purchased a majority stake in SIMCOM for US$230 million and extended its training agreement with Flexjet to 15 years. Civil Aviation revenue grew 12% to $640.7 million, while Defense revenue increased 4% to $495.9 million.

CAE announced it will release its fiscal year 2025 second quarter financial results on Tuesday, November 12, 2024, after market close. The company will hold a conference call on Wednesday, November 13, 2024, at 8:00 a.m. ET for analysts and institutional investors. The call will feature Marc Parent (President and CEO), Nick Leontidis (COO), Constantino Malatesta (Interim CFO), and Andrew Arnovitz (SVP of Investor Relations). The event will be webcast live at www.cae.com and archived for 90 days. The conference call will be accessible via phone through various international numbers and will include an instant replay feature available for 48 hours after the call.

CAE announced plans to increase its stake in SIMCOM Aviation Training by purchasing majority shares from Volo Sicuro for USD $230 million. Flexjet will retain a minority stake in SIMCOM, and both CAE and SIMCOM will extend their exclusive business aviation training agreements with Flexjet and affiliates by 5 years, resulting in a 15-year remaining exclusivity period. The investment, to be financed through CAE's existing credit facility and cash, is expected to be accretive to earnings and free cash flow in the first full-year post transaction. SIMCOM operates four training centers in the United States and provides pilot training across multiple business aviation aircraft platforms.

CAE has secured a 25-year sub-contract valued at approximately $1.7 billion from SkyAlyne to support the Royal Canadian Air Force's (RCAF) Future Air Crew Training (FAcT) program. The contract involves providing comprehensive aircrew training, including live flying, simulation, and ground school training. CAE will develop and deliver simulators and training devices for various aircraft fleets at Moose Jaw, Saskatchewan and Southport, Manitoba over the next 5 years.

The company is also expected to sign a follow-on order for sustainment-related in-service support services. This contract extends CAE's presence at 15 Wing Moose Jaw, where it currently operates the NATO Flying Training in Canada (NFTC) program. The FAcT program aims to modernize and recapitalize the RCAF's training system, ensuring the readiness of Canada's next generation of military personnel.

CAE (NYSE: CAE) (TSX: CAE) has announced the final director election results from its 2024 Annual Meeting of Shareholders. Thirteen nominees were elected as Directors of CAE, with voting percentages ranging from 74.65% to 99.59% in favor. Notable elections include:

- Sophie Brochu with the highest approval at 99.59%
- Marc Parent, likely the CEO, with 94.46% approval
- Patrick M. Shanahan with the lowest approval at 74.65%

The results show strong shareholder support for most nominees, with only Shanahan receiving less than 90% approval. This outcome suggests overall satisfaction with the proposed board composition, while indicating some reservations about Shanahan's appointment.

CAE Inc. reported Q1 fiscal 2025 results with revenue of $1,072.5 million, a 6% increase from $1,012.0 million in the previous year.

EPS from continuing operations dropped to $0.15 from $0.20, while adjusted EPS fell to $0.21 from $0.24.

Operating income declined 15% to $108.6 million, and adjusted segment operating income decreased by 6% to $134.2 million. The company posted a net income attributable to equity holders of $48.3 million, down 26% from last year.

Adjusted order intake stood at $1,192.0 million, contributing to a record adjusted backlog of $17.0 billion.

In the Civil Aviation segment, revenue increased by 9% to $587.6 million, but operating income fell by 15% to $89.8 million. The Defense segment saw a 3% revenue increase to $484.9 million, but operating income declined 17% to $18.8 million.

CAE aims to incur $20 million in additional restructuring costs in Q2 and expects annual cost savings of about $20 million by the end of the next fiscal year.

CAE (NYSE: CAE) (TSX: CAE) has announced its FY2025 Q1 financial results conference call and FY2024 Annual Meeting of Shareholders, both scheduled for Wednesday, August 14, 2024. The financial results call will be held at 8:00 a.m. ET, featuring key executives including Marc Parent (CEO), Sonya Branco (CFO), and Andrew Arnovitz (SVP, Investor Relations). The call will be audio webcast live and available for replay for 90 days. The Annual Meeting of Shareholders will follow at 11:00 a.m. ET, conducted virtually via a live webcast. Both events offer various access options, including phone-in and international toll-free access, catering to a global audience of analysts and institutional investors.

CAE Inc. (NYSE: CAE) (TSX: CAE) announced that Sonya Branco, Executive Vice President, Finance and CFO, will step down at the end of August 2024. Constantino Malatesta, Chief Accounting Officer and Vice-President, Controller Office, will become interim CFO. Branco's tenure saw CAE transform into the world's largest civil aviation training provider, with over 20 acquisitions and successful navigation of the COVID pandemic. She implemented a capital allocation strategy balancing growth and financial stability. Marc Parent, CEO, praised Branco's contributions and expressed confidence in Malatesta's ability to oversee financial operations during the search for a permanent CFO, considering both internal and external candidates.

CAE has released its FY24 Global Annual Activity and Sustainability Report, highlighting significant strides in environmental, social, and economic domains. The report underscores CAE's commitment to sustainability as a key business driver. CEO Marc Parent emphasized the strategic role of sustainability in capturing market share and demonstrating industry leadership. Chief Sustainability Officer Hélène V. Gagnon noted the long-term value created for stakeholders through sustainability efforts. Key highlights include a comprehensive strategy to reduce greenhouse gas emissions, a supplier engagement program promoting operational excellence and sustainability, and initiatives advancing diversity, equity, inclusion, and Indigenous relations.