StandardAero Inc.
01/27/2026 | Press release | Distributed by Public on 01/27/2026 15:18
StandardAero announces unaudited preliminary estimated results for the year ended December 31, 2025 (Form 8-K)
StandardAero announces unaudited preliminary estimated results for the year ended December 31, 2025
SCOTTSDALE, Arizona - January 27, 2026 - StandardAero, Inc. (NYSE: SARO) ("StandardAero" or the "Company") announced today certain unaudited preliminary estimated results for the year ended December 31, 2025 and the actual reported results from the prior fiscal year.
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Revenue expected to be between $6,053.0 million and $6,083.0 million |
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Net Income expected to be between $270.0 million and $280.0 million |
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Adjusted EBITDA expected to be between $806.0 million and $812.0 million |
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Cash Flow from Operations expected to be between $310.0 million and $320.0 million |
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Free Cash Flow expected to be between $200.0 million and $210.0 million |
The Company will fully disclose and discuss further details on 4Q 2025 and full-year 2025 results, along with its 2026 outlook, next month.
The Company's financial results for the year ended December 31, 2025 are not yet finalized. The Company has provided ranges rather than specific amounts for year ended December 31, 2025 because its closing procedures for the year-end financial closing process are not yet complete, these results are preliminary and subject to revision, and there is a possibility that its actual results may differ materially from these preliminary estimates. These preliminary estimated results for the year ended December 31, 2025 are derived from its preliminary internal financial records and are subject to revisions based on its procedures and controls associated with the completion of its financial reporting, including all customary reviews and approvals.
The unaudited preliminary estimated financial information presented below has been prepared by, and is the responsibility of, the Company's management. It is possible that during the completion of the Company's year-end close and control processes, it may identify items that require material adjustments to the unaudited preliminary estimated financial information presented below and that its actual results may differ materially from these preliminary estimates.
This information should not be considered a substitute for the financial statements for the year ended December 31, 2025, prepared in accordance with accounting principles generally accepted in the United States ("GAAP"), once they become available. Therefore, investors should not place undue reliance on the unaudited preliminary estimated financial information below. The estimates presented below do not purport to indicate the Company's results of operations for the year ended December 31, 2025 and are not necessarily indicative of any future period and should be read together with the Company's audited consolidated historical financial statements and the accompanying notes included in its Annual Report on Form 10-K and its unaudited condensed consolidated historical financial statements and the accompanying notes included in its Quarterly Reports on Form 10-Q. The Company undertakes no obligation to update or revise these amounts as a result of new information or otherwise.
Full Year 2025 Estimated Results
The Company estimates that revenue will be between $6,053.0 million and $6,083.0 million for the year ended December 31, 2025, an increase of between $815.8 million, or 15.6%, and $845.8 million, or 16.1%, compared to $5,237.2 million for the prior year.
The Company estimates that net income will be between $270.0 million and $280.0 million for the year ended December 31, 2025, as compared to net income of $11.0 million for the prior year.
The Company estimates that Adjusted EBITDA will be between $806.0 million and $812.0 million for the year ended December 31, 2025, an increase of between $115.5 million, or 16.7%, and $121.5 million, or 17.6%, compared to $690.5 million for the prior year.
The Company estimates that Cash Flow from Operations will be between $310.0 million and $320.0 million for the year ended December 31, 2025, compared to $76.3 million for the prior year. This represents an increase of $233.7 million to $243.7 million.
The Company estimates that Free Cash Flow will be between $200.0 million and $210.0 million for the year ended December 31, 2025, compared to a use of cash of $45.0 million for the prior year. This represents an increase of $245.0 million to $255.0 million.
The following table presents a midpoint reconciliation of net income and net income margin to Adjusted EBITDA and Adjusted EBITDA Margin, respectively:
|
Year Ended December 31, |
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| 2025 | 2024 | |||||||
| (in millions, except percentages) | ||||||||
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Net income |
$ | 275.0 | $ | 11.0 | ||||
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Income tax expense |
100.0 | 70.8 | ||||||
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Depreciation and amortization |
195.0 | 188.1 | ||||||
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Interest expense |
175.0 | 282.5 | ||||||
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Business transformation costs (LEAP and CFM) (1) |
25.0 | 43.2 | ||||||
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IPO-related costs |
- | 26.9 | ||||||
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Refinancing costs |
- | 23.7 | ||||||
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Loss on debt extinguishment |
- | 15.3 | ||||||
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Non-cash stock compensation expense |
15.0 | 17.4 | ||||||
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Integration costs and severance (2) |
5.0 | 2.8 | ||||||
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Acquisition costs (3) |
- | 1.4 | ||||||
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Insurance recovery |
(3.0 | ) | - | |||||
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Loss on disposals |
3.0 | - | ||||||
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Secondary offering costs |
5.0 | - | ||||||
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Other (4) |
14.0 | 7.4 | ||||||
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Adjusted EBITDA |
$ | 809.0 | $ | 690.5 | ||||
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Revenue |
$ | 6,068.0 | $ | 5,237.2 | ||||
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Net income margin |
4.5 | % | 0.2 | % | ||||
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Adjusted EBITDA Margin |
13.3 | % | 13.2 | % | ||||
| (1) |
Represents new product industrialization costs with the business transformation of the LEAP 1A/1B engine line in San Antonio, Texas and the expansion of the Company's CFM56 capabilities into Dallas, Texas. |
| (2) |
Represents integration costs incurred, including any facility or platform consolidation associated with the integration of an acquisition that does not meet capitalization criteria and severance related to reduction in workforce or acquisitions. Examples of integration costs may include lease breakage or run-off fees, consulting costs, demolition costs or training costs. |
| (3) |
Represents transaction costs incurred in connection with completed acquisitions, including legal and professional fees, debt arrangement fees and other third-party costs. |
| (4) |
Represents other costs not recurring in the ordinary course of business including professional fees related to business transformation and quarterly management fees payable to Carlyle Investment Management L.L.C. and Beamer Investment Inc. under consulting services agreements, representation and warranty insurance costs associated with acquisitions, and other non-comparable events to measure operating performance as these events arise outside of the Company's ordinary course of continuing operations. |
The following table presents a midpoint reconciliation of Cash Flow from Operations to Free Cash Flow:
|
Year Ended December 31, |
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| 2025 | 2024 | |||||||
| (in millions) | ||||||||
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Cash Flow from Operations |
$ | 315.0 | $ | 76.3 | ||||
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Purchase of Property, Plant and Equipment |
(85.0 | ) | (102.9 | ) | ||||
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Purchase of Intangible Assets |
(30.0 | ) | (20.3 | ) | ||||
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Proceeds from Disposal of Property, Plant and Equipment |
5.0 | 1.8 | ||||||
| (110.0 | ) | (121.4 | ) | |||||
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Free Cash Flow |
$ | 205.0 | $ | (45.1 | ) | |||
About StandardAero
StandardAero is a leading independent pure-play provider of aerospace engine aftermarket services for fixed- and rotary-wing aircraft, serving the commercial, military and business aviation end markets. StandardAero provides a comprehensive suite of critical, value-added aftermarket solutions, including engine maintenance, repair and overhaul, engine component repair, on-wing and field service support, asset management and engineering solutions. StandardAero is an NYSE listed company under the ticker symbol SARO.
StandardAero Inc. published this content on January 27, 2026, and is solely responsible for the information contained herein. Distributed via EDGAR on January 27, 2026 at 21:18 UTC. If you believe the information included in the content is inaccurate or outdated and requires editing or removal, please contact us at [email protected]