ATHENS, Greece, May 6, 2025 /PRNewswire/ - (NYSE: CAE) (TSX: CAE) – CAE today announced that it has rebranded its portfolio of airline operations solutions to Flightscape – Powered by CAE. Flightscape is a data- driven platform for airlines that provides real-time insights to improve operational performance. With Flightscape, CAE is ushering in a new era in operational intelligence, empowering all Operations Control Centre (OCC) stakeholders to prevent disruptions and adapt seamlessly when challenges arise, ...

Core Viewpoint - CAE is set to release its fourth quarter and full-year FY2025 financial results on May 13, 2025, followed by a conference call on May 14, 2025, to discuss performance and outlook with analysts and institutional investors [1][2]. Company Overview - CAE is a technology company that specializes in digitalizing the physical world through software-based simulation training and critical operations support solutions. The company has approximately 13,000 employees across more than 240 sites in over 40 countries, emphasizing sustainability in its operations [4].

Group 1 - CAE has a strong track record of exceeding earnings estimates, with an average surprise of 21.73% over the past two quarters [1][5] - In the most recent quarter, CAE reported earnings of $0.21 per share, surpassing the expected $0.20 per share by 5%, and in the previous quarter, it reported $0.18 per share against an expectation of $0.13 per share, resulting in a surprise of 38.46% [2] - The positive change in earnings estimates for CAE is indicated by a Zacks Earnings ESP of +4.91%, suggesting analysts are optimistic about the company's earnings prospects [8] Group 2 - The combination of a positive Earnings ESP and a Zacks Rank of 3 (Hold) suggests a high likelihood of CAE beating earnings estimates, with historical data showing nearly 70% success in such cases [6][8] - The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate, indicating that recent analyst revisions may provide more accurate predictions [7] - CAE's next earnings report is anticipated to be released on May 13, 2025, which could further influence investor sentiment [8]

Core Viewpoint - Investors are evaluating CAE and Bae Systems PLC to determine which stock offers better value for investment at the current time [1] Group 1: Zacks Rank and Earnings Outlook - CAE has a Zacks Rank of 2 (Buy), indicating a positive earnings outlook, while Bae Systems PLC has a Zacks Rank of 3 (Hold) [3] - The Zacks Rank is based on recent positive revisions to earnings estimates, suggesting CAE has a more favorable earnings trajectory [3] Group 2: Valuation Metrics - CAE's forward P/E ratio is 23.40, compared to Bae Systems PLC's forward P/E of 24.24 [5] - CAE has a PEG ratio of 1.42, while Bae Systems PLC has a PEG ratio of 2.03, indicating CAE may be undervalued relative to its expected EPS growth [5] - CAE's P/B ratio is 2.18, significantly lower than Bae Systems PLC's P/B of 4.68, suggesting a more attractive valuation for CAE [6] Group 3: Overall Value Assessment - Based on various valuation metrics, CAE holds a Value grade of B, while Bae Systems PLC has a Value grade of C, indicating CAE is the superior option for value investors at this time [6][7]

Group 1 - The investment thesis for CAE Inc. is based on its role as a supplier of training services and equipment for pilots, which allows it to benefit from demand cycles for new airplanes and crew training [2] - CAE Inc. also operates in the defense sector, providing training solutions that align with military needs, indicating a diversified revenue stream [2] - The company is positioned in a complex industry with significant growth prospects, driven by data-informed analysis [2] Group 2 - The Aerospace Forum aims to discover investment opportunities within the aerospace, defense, and airline industries, highlighting the potential for growth in these sectors [2] - The analysis provided by the forum is contextualized with developments in the industry, which may impact investment theses [2]

Financial Data and Key Metrics Changes - Consolidated revenues reached $1.22 billion, a 12% increase compared to the same quarter last year [21] - Adjusted segment operating income was $190 million, up 31% from $145.1 million in the previous quarter [21] - Free cash flow was a record $410 million, compared to $190 million in the same quarter last year [24] - Adjusted EPS increased to $0.29 from $0.24 year-over-year [21] - Net finance expense rose to $56.6 million from $52.9 million in the preceding quarter [22] - Net debt position at the end of the quarter was approximately $3.4 billion, with a net debt to adjusted EBITDA ratio of 3.36x [26] Business Line Data and Key Metrics Changes - Civil segment revenue grew 21% year-over-year to $752.6 million, with adjusted segment operating income also increasing by 21% to $250.8 million [27] - Defense revenue remained stable at $470.8 million, while adjusted segment operating income surged 88% to $39.2 million, achieving an 8.3% margin [28] Market Data and Key Metrics Changes - In the Americas, airline passenger traffic grew by 7% year-over-year, but training center utilization decreased due to lower pilot hiring [48] - In Europe and the Middle East, passenger traffic increased by 5%, leading to higher training center utilization [48] Company Strategy and Development Direction - The company is focused on aligning capacity with demand, reflecting a disciplined approach to capital allocation and cash management [44][45] - The investment thesis remains strong, supported by a record backlog of $20 billion and sustained high demand for pilot training [31] - The company is well-positioned in both Civil and Defense markets, with ongoing demand driven by pilot shortages and defense modernization efforts [35][36] Management's Comments on Operating Environment and Future Outlook - The company expects modest annual civil-adjusted segment operating income growth below the previous outlook of approximately 10% due to delays in commercial aircraft deliveries [38] - In Defense, the company anticipates high single-digit percentage revenue growth per year, up from previous low to mid-single-digit expectations [39] - The geopolitical environment is fueling demand for training and simulation solutions, creating substantial growth opportunities [35] Other Important Information - The company appointed four new directors to its board, including Kaylin Rovinescu as the new Chair, as part of a transition towards renewed board leadership [6][9] - The company inaugurated its first air traffic services training center in collaboration with NAV Canada, enhancing its training capabilities [16] Q&A Session Summary Question: CapEx targets reduction - Management indicated that the reduction was a prudent decision to align capacity with demand [44][45] Question: Training utilization trends in different regions - Utilization in the Americas is down slightly due to lower pilot hiring, while Europe and Asia are seeing increases in utilization [48][50] Question: Impact of potential tariffs - Management does not expect a material short-term impact from tariffs but is monitoring the situation closely [54][55] Question: Defense margins and future outlook - Management expressed confidence in maintaining strong margins and highlighted the importance of execution and risk reduction [62][66] Question: Board changes and governance focus - The board changes reflect ongoing renewal and succession planning, with a focus on effective leadership [80][81] Question: FlexJet order implications - The large order from FlexJet is seen as a significant opportunity for the company, necessitating investments in training capacity [84][86] Question: U.S. defense budget impact - Management believes that increasing readiness among U.S. allies will drive demand for training services, despite potential short-term disruptions [90][92] Question: Simulator deliveries and fiscal outlook - Management confirmed that guidance remains unchanged, with expectations for more than 50 simulator deliveries [96][98]

For the quarter ended December 2024, CAE (CAE) reported revenue of $874.42 million, up 8.8% over the same period last year. EPS came in at $0.21, compared to $0.18 in the year-ago quarter.The reported revenue compares to the Zacks Consensus Estimate of $818.69 million, representing a surprise of +6.81%. The company delivered an EPS surprise of +5.00%, with the consensus EPS estimate being $0.20.While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expec ...

CAE (CAE) came out with quarterly earnings of $0.21 per share, beating the Zacks Consensus Estimate of $0.20 per share. This compares to earnings of $0.18 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 5%. A quarter ago, it was expected that this civil and military flight simulator company would post earnings of $0.13 per share when it actually produced earnings of $0.18, delivering a surprise of 38.46%.Over the last four qua ...

| (amounts in millions, except per share amounts, adjusted ROCE and book-to-sales ratio) | | Q3-2025 | | Q3-2024 | | Variance $ | Variance % | | --- | --- | --- | --- | --- | --- | --- | --- | | Performance | | | | | | | | | Revenue | $ | 1,223.4 | $ | 1,094.5 | $ | 128.9 | 12 % | | Operating income | $ | 262.6 | $ | 121.6 | $ | 141.0 | 116 % | | 1 Adjusted segment operating income | $ | 190.0 | $ | 145.1 | $ | 44.9 | 31 % | | Net income attributable to equity holders of the Company | $ | 168.6 | $ | 56.5 | ...

Revenue of $1,223.4 million vs. $1,094.5 million in prior year Earnings per share (EPS) from continuing operations of $0.53 vs. $0.18 in prior year Adjusted EPS(1) of $0.29 vs. $0.24 in prior year Operating income of $262.6 million vs. $121.6 million in prior year Adjusted segment operating income(1) of $190.0 million vs. $145.1 million in prior year Free cash flow(1) of record $409.8 million vs. $190.0 million in prior year Adjusted order intake(1) of $2.2 billion for a record $20.3 billion adjusted backl ...