StandardAero announced its third quarter 2024 financial results on November 13, 2024, reporting revenue of $1,244.6 million, a 13.2% increase compared to $1,099.4 million in the prior year period. This growth was driven by both the Engine Services and Component Repair Services segments, with commercial aerospace revenue increasing 20% and business aviation revenue rising 15%. The military and helicopter market saw a 3% decline, primarily due to the temporary grounding of the V-22 Osprey fleet.
The company reported net income of $16.4 million for the third quarter 2024, a significant improvement from a net loss of $17.9 million in the prior year period. Adjusted EBITDA increased 26.0% to $168.4 million, with the Adjusted EBITDA margin expanding by 137 basis points to 13.5%. This margin expansion reflects revenue growth, operating leverage, positive mix, and pricing and cost initiatives.
Capital expenditures for the quarter were $25.3 million, including $14.8 million invested in growth initiatives such as the LEAP-1A/-1B program and the new CFM56 Center of Excellence in Dallas, Texas. The company also highlighted its recent IPO and debt refinancing, which significantly deleveraged the balance sheet and improved financial flexibility, leading to annual interest savings exceeding $130 million.
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