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StandardAero, Inc. (SARO)
NYSE:SARO
Earnings Data
Report Date
May 18, 2026After Close (Confirmed)
Period Ending
2026 (Q1)Consensus EPS Forecast
0.27Last Year’s EPS
0.19Same Quarter Last Year
Moderate Buy
Based on 10 Analysts Ratings
Earnings Call Summary
Earnings Call Sentiment|Positive
The call conveyed a predominantly positive outlook: StandardAero delivered strong organic revenue and adjusted EBITDA growth in 2025, meaningful free cash flow generation, reduced leverage, and concrete progress on strategic growth platforms (LEAP, CF34, HTF7000) and CRS in‑sourcing. Management provided confident 2026 guidance (revenue, adjusted EBITDA, adjusted EPS, and higher free cash flow) while taking actions to improve margin quality (eliminating low‑margin pass‑through revenue and capturing more repairs in‑house). Near-term headwinds include supply‑chain part delays, a December fire at the Phoenix CRS facility, and the impact of the U.S. government shutdown, plus ramp dilution from LEAP/CFM56 that will pressure margins until industrialization/profitability is achieved. Overall, the positive operational and financial momentum and capital flexibility outweigh the identifiable short‑term challenges.Company Guidance
Record Revenue and Year-over-Year Growth
Full-year 2025 revenue grew ~15.8% to ~$5.35B in Engine Services and total company revenue up ~16% year-over-year; Q4 2025 revenue of $1.6B represented 13.5% growth versus Q4 2024 (all organic).
Adjusted EBITDA and Margin Expansion
Full-year adjusted EBITDA was $808M, up 17% year-over-year; Q4 adjusted EBITDA grew to $210M (12.7% YoY). Company guidance expects adjusted EBITDA of $870M–$905M for 2026 (~10% growth at the midpoint) and a ~70 bps margin improvement to ~14%.
Strong Free Cash Flow and Improved Working Capital
Generated meaningful free cash flow of $209M for full-year 2025 (vs. use of $45M in 2024) and $308M in Q4 as working capital improved; company achieved ~75% free cash flow conversion on net income in 2025 and targets $270M–$300M FCF for 2026 (~36% growth at midpoint).
Leverage Reduction and Shareholder Capital Actions
Net debt / adjusted EBITDA improved from 3.1x to 2.4x in 2025, placing the company inside its 2.0–3.0x target range; authorized a $450M share repurchase program and signaled disciplined capital allocation including organic investment and M&A.
LEAP Ramp and Platform Progress
Inducted 60 LEAP engines in 2025 (up from 10 in 2024); H2 2025 LEAP revenues ~2.5x H1 revenues; developed >475 LEAP component repairs and completed the first full overhaul on the LEAP platform, providing visibility and multi‑decade market opportunity.
Component Repair Services (CRS) Outperformance
CRS revenue grew 19.6% to $709M in 2025; adjusted EBITDA grew ~31% with a ~250 bps margin expansion year-over-year; in‑source component repair revenue increased 15%, and ATI acquisition synergies came in above plan.
Engine Services Strength Across Platforms
Engine Services revenue increased ~15.3% to $5.35B driven by CF34, HTF7000, turboprops, LEAP and CFM56; Q4 Engine Services adjusted EBITDA margin was 13.4%, up 60 bps YoY, with Engine Services adjusted EBITDA up ~15.7%.
Operational Investments and Capacity Expansion
Invested $90M in growth platforms in 2025; completed Augusta business aviation facility expansion to handle large cabin jets and announced Winnipeg CF34 facility expansion (expected complete H2 2026) to capture long‑term demand.
SARO Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed
SARO Earnings-Related Price Changes
Report Date | Price 1 Day Before | Price 1 Day After | Percentage Change |
|---|---|---|---|
Feb 25, 2026 | $30.83 | $31.90 | +3.47% |
Nov 10, 2025 | $27.54 | $27.27 | -0.98% |
Aug 13, 2025 | $28.16 | $27.02 | -4.05% |
May 12, 2025 | $28.60 | $29.85 | +4.37% |
Earnings announcements can affect a stock’s price. This table shows the stock's price the day before and the day after recent earnings reports, including the percentage change.
FAQ
When does StandardAero, Inc. (SARO) report earnings?
StandardAero, Inc. (SARO) is schdueled to report earning on May 18, 2026, After Close (Confirmed).
What is StandardAero, Inc. (SARO) earnings time?
StandardAero, Inc. (SARO) earnings time is at May 18, 2026, After Close (Confirmed).
Where can I see when companies are reporting earnings?
You can see which companies are reporting today on our designated earnings calendar.
What companies are reporting earnings today?
You can see a list of the companies which are reporting today on TipRanks earnings calendar.
What is SARO EPS forecast?
SARO EPS forecast for the fiscal quarter 2026 (Q1) is 0.27.