StandardAero shares surge 7.5% on strong 2025 outlook

Published 10/03/2025, 21:34
StandardAero shares surge 7.5% on strong 2025 outlook

SCOTTSDALE, Ariz. - StandardAero (NYSE:SARO) shares jumped 7.5% after the aerospace engine aftermarket services provider reported fourth-quarter results and issued strong guidance for 2025, signaling continued momentum in its business.

The company posted a fourth-quarter net loss of $14.1 million, or $0.04 per share, on revenue of $1.41 billion, up 21.8% YoY. While StandardAero reported a loss, investors focused on the company’s robust revenue growth and outlook.

For 2025, StandardAero forecasts revenue between $5.8 billion and $5.95 billion, compared to analyst estimates of $5.83 billion. The midpoint of guidance represents about 12% growth from 2024 revenue of $5.24 billion.

"We are seeing strong demand and continued double-digit growth in both our Engine Services and Component Repair Services segments," said Russell Ford (NYSE:F), StandardAero’s Chairman and CEO. He noted the company is benefiting from "enduring secular tailwinds" in the aerospace aftermarket.

Fourth-quarter adjusted EBITDA rose 37.2% to $186.2 million, with margin expanding 150 basis points to 13.2%. Commercial aerospace revenue surged 33% in Q4, while business aviation grew 11%.

StandardAero completed a $1.7 billion IPO in October, using proceeds to pay down debt. The company said its new capital structure is expected to result in over $130 million in annual interest savings compared to pre-IPO levels.

With its improved balance sheet, StandardAero plans to pursue organic growth investments and potential acquisitions to drive further expansion in 2025 and beyond.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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