Filing Flows › AAR (AIR) › Q1 FY27
AAR (AIR) Q1 FY27 earnings results (first quarter fiscal 2027)
10-Q filed Sep 29, 2026
AAR (AIR) reported revenue of $918M for the first quarter fiscal 2027 (Q1 FY27), +24% from a year earlier and -1% from the quarter before. Operating margin was 6.0%, net earnings $40.1M (4.4% of revenue).
AAR, Q1 FY27: revenue $918M (+24% year over year), operating margin 6.0%, net earnings $40.1M, operating cash flow $55.8M. The chart follows the revenue to costs, profit and cash.
| Q1 FY27 | Amount | Q/Q | Y/Y |
|---|---|---|---|
| Revenue | $918M | -1% | +24% |
| Gross profit | $176M | -0.2% | +32% |
| Operating profit | $55.4M | -4% | +18% |
| Net earnings | $40.1M | -21% | +17% |
| Operating cash flow | $55.8M | +0.9% | — |
| Free cash flow | $44.0M | +2% | — |
What changed
Revenue was $918.0M in Q1 FY27, up 24% year over year and down 1% from the previous quarter. Parts Supply was the largest line at 45% of revenue. Parts Supply added $97.0M year over year (up 31%), 54% of the total change.
Gross margin was 19.2%, up 1.1 points from Q1 FY26. Operating profit was $55.4M, a 6.0% margin (down 0.3 points year over year). Of the extra revenue versus Q1 FY26, 5% reached operating profit, below the 6% margin then. Operating expenses grew 39% against revenue growth of 24%. The fastest-growing cost line was SG&A (+49%). Net earnings were $40.1M, up 17% year over year. The effective tax rate was 27.6%.
Operating cash flow was $55.8M, 139% of net earnings. Non-cash charges added back $18.8M of depreciation and amortization and $7.8M of share-based compensation. Working capital and other items used $10.9M. Capital expenditures of $11.8M left free cash flow of $44.0M.
Questions
What was AAR's revenue in the first quarter fiscal 2027?
AAR (AIR) reported revenue of $918M for the first quarter fiscal 2027 (Q1 FY27), +24% from a year earlier and -1% from the quarter before.
Was AAR profitable in the first quarter fiscal 2027?
Operating profit was $55.4M (6.0% of revenue) and net earnings $40.1M.
Source: AAR 10-Q on SEC EDGAR.