Aar (AIR) Quarterly and Annual Segment Results by Country and Region - CSIMarket
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Aar Corp  (NYSE: AIR)
    Sector  Capital Goods    Industry Aerospace & Defense
   Industry Aerospace & Defense
   Sector  Capital Goods

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Description of Aar's Business Segments


AAR Corp, a diversified provider of services and products to the global aerospace and defense industries, operates through several key segments, including Aviation Services and Expeditionary Services. This extensive overview will delve into each segment, outlining the variety of products and services offered, as well as the companys international operations.

Aviation Services

The Aviation Services segment is a cornerstone of AAR Corps operations, underscoring its commitment to supporting both commercial aviation and government/defense clients. This segment encompasses a wide array of activities focused on inventory management, maintenance, repair, and overhaul (MRO), as well as engineering services. AAR Corps business activities in this space are conducted primarily through several subsidiaries:

1. AAR Parts Trading, Inc.
2. AAR Aircraft & Engine Sales & Leasing, Inc.
3. AAR Aircraft Services, Inc.
4. AAR Allen Services, Inc. (a wholly-owned subsidiary of AAR Parts Trading, Inc.)
5. AAR Landing Gear LLC
6. AAR International, Inc.

Key Offerings in Aviation Services

1. Parts Sales and Leasing: AAR Corp engages in the sale and lease of new, overhauled, and repaired engine and airframe components. Their offerings cater to a diverse clientele, including commercial airlines and government entities, ensuring they have access to critical aviation parts.

2. Customized Inventory Management: The firm provides tailored inventory supply and management services designed to optimize the operational efficiencies of airlines and government maintenance operations. This includes:
- Material planning
- Sourcing and logistics
- Warranty claim management
- Outsourcing programs for parts and components

3. Performance-Based Logistics: AARs performance-based logistics programs are particularly tailored for the U.S. Department of Defense (DoD) and foreign government contracts. This involves:
- Comprehensive material planning and sourcing
- Logistics and program management
- Airframe maintenance and associated planning services
- Component repair and overhaul solutions

4. Airframe Maintenance and Overhaul: AAR operates several facilities committed to major airframe maintenance and inspection, including:
- Painting services
- Line maintenance
- Modifications and structural repairs
- Avionic service and installation
- Interior and exterior refurbishment

5. Landing Gear Overhaul: AAR has a specialized facility for the repair and overhaul of landing gears, wheels, and brakes, pivotal for maintaining aircraft safety and performance, located in Miami, Florida.

Global Operations in Aviation Services

AAR operates six airframe maintenance facilities and one dedicated landing gear overhaul facility across the United States. These locations include Indianapolis (Indiana), Oklahoma City (Oklahoma), Duluth (Minnesota), Miami (Florida), and Lake Charles (Louisiana). This geographic footprint allows AAR to serve a wide range of clients quickly and effectively, assuring support across various aviation maintenance needs.

Expeditionary Services

The Expeditionary Services segment encompasses businesses that provide critical support for the movement of equipment and personnel, emphasizing operations for the DoD, foreign governments, and non-governmental organizations (NGOs). Key entities involved in this segment include:

1. AAR Airlift Group, Inc.
2. AAR Manufacturing, Inc.
3. Brown International Corporation (a wholly-owned subsidiary of AAR Manufacturing, Inc.)

Key Offerings in Expeditionary Services

1. Expeditionary Airlift Services: AAR provides sophisticated airlift solutions, encompassing both fixed- and rotary-wing flight operations. Services are tailored to transport personnel and cargo, primarily supporting military operations in regions such as Afghanistan, Iraq, Northern Africa, and the Western Pacific. AAR holds necessary certification to operate these aircraft, including FAR Part 133 and 135 certificates.

2. Engineering, Design, and System Integration: The company plays a pivotal role in the design and manufacturing of essential logistical equipment, including transportation pallets, containers, and shelters, which are critical for both military and humanitarian missions. These structures serve various operational needs, such as temporary housing, command and control centers, and logistical support for deployed units.

3. Repair and Maintenance Services: Expansion into the repair and maintenance of specialized equipment like transportation pallets and tactical containers enhances their offering to military and humanitarian operations significantly.

International Operations

AAR Corps international operations are integral to its business model, particularly within the Aviation Services and Expeditionary Services segments. The company actively engages in various regions around the globe, providing essential support for military and civilian aviation needs. By leveraging its certification to operate in complex environments and maintain aircraft, AAR demonstrates its capability to adapt to different regulatory and operational landscapes. Additionally, AAR has established partnerships and certifications that facilitate cooperation with government entities, ensuring compliance and trust within their operational frameworks.

Conclusion

AAR Corp’s extensive range of segments, products, and services underscores its significant role in the aerospace and defense industries. By providing comprehensive solutions in the Aviation Services and Expeditionary Services segments, the company has developed a robust operational framework that supports both commercial and defense aviation needs internationally. This strategic positioning and the versatility of its service offerings ensure that AAR remains a formidable player in the global aerospace sector.


Composition of Aar Corp Revenues by Segments

 
Parts Supply    46.47 % of total Revenue
Parts Supply Commercial    35.52 % of total Revenue
Parts Supply Government and defense    10.95 % of total Revenue
Repair Engineering    31.41 % of total Revenue
Repair Engineering Commercial    29.1 % of total Revenue
Repair Engineering Government and defense    2.31 % of total Revenue
Integrated Solutions    19.87 % of total Revenue
Integrated Solutions Commercial    8.13 % of total Revenue
Integrated Solutions Government and defense    11.73 % of total Revenue
Expeditionary Services    2.31 % of total Revenue
Expeditionary Services Commercial    0.15 % of total Revenue
Expeditionary Services Government and defense    2.15 % of total Revenue
Aviation Services    100.05 % of total Revenue
Aviation Services U S Canada    70.4 % of total Revenue
Aviation Services Europe Africa    17.13 % of total Revenue
Aviation Services Asia South Pacific    10.93 % of total Revenue
Aviation Services Other    1.59 % of total Revenue
Inter-Sales    3.34 % of total Revenue
Total Sales    103.39 % of total Revenue
Reportable aggregation before corporate and other segment    100.05 % of total Revenue
Parts Supply Inter-Sales    0.95 % of total Revenue
Parts Supply Total Sales    47.41 % of total Revenue
Repair Engineering Inter-Sales    2.1 % of total Revenue
Repair Engineering Total Sales    33.5 % of total Revenue
Integrated Solutions Inter-Sales    0.3 % of total Revenue
Integrated Solutions Total Sales    20.16 % of total Revenue
Expeditionary Services Total Sales    2.31 % of total Revenue

Q3 three months ended (Feb 28 2026)
Revenues by Business Segments Revenues
(in millions $)
%
(of total Revenues)
Parts Supply 392.50 46.47 %
Parts Supply Commercial 300.00 35.52 %
Parts Supply Government and defense 92.50 10.95 %
Repair Engineering 265.30 31.41 %
Repair Engineering Commercial 245.80 29.1 %
Repair Engineering Government and defense 19.50 2.31 %
Integrated Solutions 167.80 19.87 %
Integrated Solutions Commercial 68.70 8.13 %
Integrated Solutions Government and defense 99.10 11.73 %
Expeditionary Services 19.50 2.31 %
Expeditionary Services Commercial 1.30 0.15 %
Expeditionary Services Government and defense 18.20 2.15 %
Aviation Services 845.10 100.05 %
Aviation Services U S Canada 594.70 70.4 %
Aviation Services Europe Africa 144.70 17.13 %
Aviation Services Asia South Pacific 92.30 10.93 %
Aviation Services Other 13.40 1.59 %
Inter-Sales 28.20 3.34 %
Total Sales 873.30 103.39 %
Reportable aggregation before corporate and other segment 845.10 100.05 %
Parts Supply Inter-Sales 8.00 0.95 %
Parts Supply Total Sales 400.50 47.41 %
Repair Engineering Inter-Sales 17.70 2.1 %
Repair Engineering Total Sales 283.00 33.5 %
Integrated Solutions Inter-Sales 2.50 0.3 %
Integrated Solutions Total Sales 170.30 20.16 %
Expeditionary Services Total Sales 19.50 2.31 %
Total 844.70 100 %




Q3 three months ended (Feb 28 2026)
Revenue Growth rates by Segment Y/Y Revenue
%
Q/Q Revenue
%
Parts Supply 44.99 % 11 %
Parts Supply Commercial 35.81 % 11.9 %
Parts Supply Government and defense 85.74 % 8.19 %
Repair Engineering 22.88 % 8.51 %
Repair Engineering Commercial 26.96 % 9.68 %
Repair Engineering Government and defense -12.56 % -4.41 %
Integrated Solutions 3.01 % -4.55 %
Integrated Solutions Commercial -1.01 % -5.89 %
Integrated Solutions Government and defense 5.99 % -3.6 %
Expeditionary Services -32.06 % -8.88 %
Expeditionary Services Commercial -18.75 % 8.33 %
Expeditionary Services Government and defense -32.84 % -9.9 %
Aviation Services 24.61 % 6.26 %
Aviation Services U S Canada 20.19 % 3.01 %
Aviation Services Europe Africa 46.61 % 43.27 %
Aviation Services Asia South Pacific 23.07 % -10.13 %
Aviation Services Other 38.14 % -6.29 %
Inter-Sales -0.35 % -12.42 %
Total Sales 23.61 % -
Reportable aggregation before corporate and other segment 24.61 % 6.26 %
Parts Supply Inter-Sales 9.59 % -39.85 %
Parts Supply Total Sales 44.06 % -
Repair Engineering Inter-Sales -13.66 % 7.27 %
Repair Engineering Total Sales 19.71 % -
Integrated Solutions Inter-Sales 400 % 4.17 %
Integrated Solutions Total Sales 4.22 % -
Expeditionary Services Total Sales -32.06 % -
Total 24.64 % 6.26 %




Q3 three months ended (Feb 28 2026)
Income by Business Segments Income
(in millions $)
%
(Profit Margin)
Total 68.00 8.05 %




Q3 three months ended (Feb 28 2026)
Income Growth rates by Segment Y/Y Income
%
Q/Q Income
%
Total - 96.53 %




Annual Report on Aar Corp Divisions, Sales by Country

 
Parts Supply   Parts Supply Segment contribution to total sales 39.56 % of total Revenue
Parts Supply Commercial   Parts Supply Commercial Segment contribution to total sales 31.63 % of total Revenue
Parts Supply Government and defense   Parts Supply Government and defense Segment contribution to total sales 7.93 % of total Revenue
Repair Engineering   Repair Engineering Segment contribution to total sales 31.83 % of total Revenue
Repair Engineering Commercial   Repair Engineering Commercial Segment contribution to total sales 28.61 % of total Revenue
Repair Engineering Government and defense   Repair Engineering Government and defense Segment contribution to total sales 3.22 % of total Revenue
Integrated Solutions   Integrated Solutions Segment contribution to total sales 25.01 % of total Revenue
Integrated Solutions Commercial   Integrated Solutions Commercial Segment contribution to total sales 10.7 % of total Revenue
Integrated Solutions Government and defense   Integrated Solutions Government and defense Segment contribution to total sales 14.31 % of total Revenue
Expeditionary Services   Expeditionary Services Segment contribution to total sales 3.62 % of total Revenue
Expeditionary Services Commercial   Expeditionary Services Commercial Segment contribution to total sales 0.14 % of total Revenue
Expeditionary Services Government and defense   Expeditionary Services Government and defense Segment contribution to total sales 3.48 % of total Revenue
Inter-Sales   Inter-Sales Segment contribution to total sales 4.04 % of total Revenue
Total Sales   Total Sales Segment contribution to total sales 104.07 % of total Revenue
Parts Supply Inter-Sales   Parts Supply Inter-Sales Segment contribution to total sales 0.71 % of total Revenue
Parts Supply Total Sales   Parts Supply Total Sales Segment contribution to total sales 40.27 % of total Revenue
Repair Engineering Inter-Sales   Repair Engineering Inter-Sales Segment contribution to total sales 3.25 % of total Revenue
Repair Engineering Total Sales   Repair Engineering Total Sales Segment contribution to total sales 35.08 % of total Revenue
Integrated Solutions Inter-Sales   Integrated Solutions Inter-Sales Segment contribution to total sales 0.08 % of total Revenue
Integrated Solutions Total Sales   Integrated Solutions Total Sales Segment contribution to total sales 25.09 % of total Revenue
Expeditionary Services Total Sales   Expeditionary Services Total Sales Segment contribution to total sales 3.62 % of total Revenue
U S Department of Defense other U S government agencies and their contractors   U S Department of Defense other U S government agencies and their contractors Segment contribution to total sales 24.74 % of total Revenue
Parts Supply U S Department of Defense other U S government agencies and their contractors   Parts Supply U S Department of Defense other U S government agencies and their contractors Segment contribution to total sales 5.16 % of total Revenue
Repair Engineering U S Department of Defense other U S government agencies and their contractors   Repair Engineering U S Department of Defense other U S government agencies and their contractors Segment contribution to total sales 2.94 % of total Revenue
Integrated Solutions U S Department of Defense other U S government agencies and their contractors   Integrated Solutions U S Department of Defense other U S government agencies and their contractors Segment contribution to total sales 13.39 % of total Revenue
Expeditionary Services U S Department of Defense other U S government agencies and their contractors   Expeditionary Services U S Department of Defense other U S government agencies and their contractors Segment contribution to total sales 3.26 % of total Revenue
Foreign countries   Foreign countries Segment contribution to total sales 34.24 % of total Revenue
Parts Supply North America   Parts Supply North America Segment contribution to total sales 22.72 % of total Revenue
Parts Supply Europe Africa   Parts Supply Europe Africa Segment contribution to total sales 9.47 % of total Revenue
Parts Supply Asia   Parts Supply Asia Segment contribution to total sales 5.98 % of total Revenue
Parts Supply Other   Parts Supply Other Segment contribution to total sales 1.39 % of total Revenue
Repair Engineering North America   Repair Engineering North America Segment contribution to total sales 25.75 % of total Revenue
Repair Engineering Europe Africa   Repair Engineering Europe Africa Segment contribution to total sales 3.22 % of total Revenue
Repair Engineering Asia   Repair Engineering Asia Segment contribution to total sales 2.73 % of total Revenue
Repair Engineering Other   Repair Engineering Other Segment contribution to total sales 0.13 % of total Revenue
Integrated Solutions North America   Integrated Solutions North America Segment contribution to total sales 20.91 % of total Revenue
Integrated Solutions Europe Africa   Integrated Solutions Europe Africa Segment contribution to total sales 2.81 % of total Revenue
Integrated Solutions Other   Integrated Solutions Other Segment contribution to total sales 1.3 % of total Revenue
Expeditionary Services North America   Expeditionary Services North America Segment contribution to total sales 3.58 % of total Revenue
Expeditionary Services Other   Expeditionary Services Other Segment contribution to total sales 0.05 % of total Revenue


Twelve months ended 2025
AIR s Annual Revenue by Geography and Business Segments Sales
(in millions $)
%
(of total Sales)
Parts Supply 1,099.60 39.56 %
Parts Supply Commercial 879.20 31.63 %
Parts Supply Government and defense 220.40 7.93 %
Repair Engineering 884.90 31.83 %
Repair Engineering Commercial 795.40 28.61 %
Repair Engineering Government and defense 89.50 3.22 %
Integrated Solutions 695.30 25.01 %
Integrated Solutions Commercial 297.50 10.7 %
Integrated Solutions Government and defense 397.80 14.31 %
Expeditionary Services 100.70 3.62 %
Expeditionary Services Commercial 4.00 0.14 %
Expeditionary Services Government and defense 96.70 3.48 %
Inter-Sales 112.20 4.04 %
Total Sales 2,892.70 104.07 %
Parts Supply Inter-Sales 19.80 0.71 %
Parts Supply Total Sales 1,119.40 40.27 %
Repair Engineering Inter-Sales 90.30 3.25 %
Repair Engineering Total Sales 975.20 35.08 %
Integrated Solutions Inter-Sales 2.10 0.08 %
Integrated Solutions Total Sales 697.40 25.09 %
Expeditionary Services Total Sales 100.70 3.62 %
Total 2,779.70 100 %
U S Department of Defense other U S government agencies and their contractors 687.60 24.74 %
Parts Supply U S Department of Defense other U S government agencies and their contractors 143.30 5.16 %
Repair Engineering U S Department of Defense other U S government agencies and their contractors 81.60 2.94 %
Integrated Solutions U S Department of Defense other U S government agencies and their contractors 372.10 13.39 %
Expeditionary Services U S Department of Defense other U S government agencies and their contractors 90.60 3.26 %
Foreign countries 951.70 34.24 %
Parts Supply North America 631.60 22.72 %
Parts Supply Europe Africa 263.20 9.47 %
Parts Supply Asia 166.10 5.98 %
Parts Supply Other 38.70 1.39 %
Repair Engineering North America 715.80 25.75 %
Repair Engineering Europe Africa 89.60 3.22 %
Repair Engineering Asia 75.80 2.73 %
Repair Engineering Other 3.70 0.13 %
Integrated Solutions North America 581.30 20.91 %
Integrated Solutions Europe Africa 78.00 2.81 %
Integrated Solutions Other 36.00 1.3 %
Expeditionary Services North America 99.40 3.58 %
Expeditionary Services Other 1.30 0.05 %


Twelve months ended 2025
AIR s Annual Income by Country and Business Segments Income
(in millions $)
%
(Profit Margin)
Parts Supply 156.80 14.26 %
Integrated Solutions 36.40 5.24 %
Expeditionary Services 10.10 10.03 %
Total Sales 284.50 9.84 %
Total 12.50 0.45 %

Twelve months ended 2025
Annual Revenue and Income Growth by Country and Business Segments % Y/Y Sales Growth % Y/Y Income Growth
Parts Supply 13.71 % 42.81 %
Parts Supply Commercial 9.82 % -
Parts Supply Government and defense 32.45 % -
Repair Engineering 38.24 % -
Repair Engineering Commercial 38.55 % -
Repair Engineering Government and defense 35.61 % -
Integrated Solutions 8.32 % 52.3 %
Integrated Solutions Commercial 15.71 % -
Integrated Solutions Government and defense 3.38 % -
Expeditionary Services 44.06 % 188.57 %
Expeditionary Services Commercial -34.43 % -
Expeditionary Services Government and defense 51.57 % -
Inter-Sales 15.31 % -
Total Sales 19.72 % 49.97 %
Parts Supply Inter-Sales 130.23 % -
Parts Supply Total Sales 14.74 % -
Repair Engineering Inter-Sales 2.85 % -
Repair Engineering Total Sales 33.97 % -
Integrated Solutions Inter-Sales 133.33 % -
Integrated Solutions Total Sales 8.49 % -
Expeditionary Services Total Sales 44.06 % -
U S Department of Defense other U S government agencies and their contractors 19.35 % -
Parts Supply U S Department of Defense other U S government agencies and their contractors 44.31 % -
Repair Engineering U S Department of Defense other U S government agencies and their contractors 33.77 % -
Integrated Solutions U S Department of Defense other U S government agencies and their contractors 4.35 % -
Expeditionary Services U S Department of Defense other U S government agencies and their contractors 53.04 % -
Foreign countries 23.6 % -
Parts Supply North America 18.7 % -
Parts Supply Europe Africa 4.07 % -
Parts Supply Asia 13.46 % -
Parts Supply Other 8.71 % -
Repair Engineering North America 25.12 % -
Repair Engineering Europe Africa 120.69 % -
Repair Engineering Asia 208.13 % -
Repair Engineering Other 32.14 % -
Integrated Solutions North America 8.45 % -
Integrated Solutions Europe Africa 0 % -
Integrated Solutions Other 29.03 % -
Expeditionary Services North America 44.9 % -
Expeditionary Services Other 0 % -



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