AAR Corp Reports 17% Organic Sales Growth, Raises 2026 Guidance

AAR Corp reported strong financial performance in its fiscal first quarter of 2026, with organic sales growth of 17% and adjusted sales rising 13% to $740 million, driven primarily by a 27% surge in the Parts Supply segment. Adjusted EBITDA increased 18%, and adjusted diluted EPS rose 27% to $1.08, surpassing Wall Street expectations. The company secured new multiyear exclusive contracts, including an $85 million deal with the Defense Logistics Agency, and expanded its airframe maintenance facilities in Oklahoma City and Miami to add 15% network capacity. Strategic investments, including a $15 million acquisition of AeroStrat to enhance maintenance planning software, contributed to improved profitability and market share gains in both commercial and government sectors. AAR's sales growth was notable across regions, with strong demand in the U.S./Canada and Asia/South Pacific markets, and management raised full-year organic sales growth guidance to approximately 10%. Overall, AAR is positioned for sustained growth driven by expanding defense contracts, software enhancements, and increased aftermarket demand.