Shares in Canadian aviation simulation and services company, CAE, jumped 7.5% yesterday as it unveiled a CAD27.2 million net profit in the first quarter ended 30-Jun-2009, down from CAD47.3 million in the previous corresponding period.
Excluding a restructuring charge recorded during the latest quarter, CAE’s net earnings were CAD46.1 million – a result that clearly impressed the market. CEO, Robert Brown, stated, “our challenge during the first quarter was to successfully carry out a major global reorganisation while maintaining the momentum of the business”, but he added, “we have some progress to make”.
Mr Brown announced he would retire on 30-Sep-2009 after five years in the role and said the strength of CAE’s military business would “offset the softness in our civil business, and we expect this to continue to help us as we move through the challenging aerospace cycle.”
Elsewhere, shares in EADS rose 1.8, while Boeing gained 2.1%.
Selected Aviation suppliers’ daily share price movements (% change): 12-Aug-09