CAE revenue down 9.8%, profit also down in 3QFY2010

CAE revenue down 9.8% - financial highlights for the three months ended 31-Dec-2009:

• Revenue: USD357.9 million, -9.8% year-on-year;
  • Civil Simulation Products: USD67.9 million, -39.1%;
  • Civil Training & Services: USD95.7 million, -15.3%;
• Segment operating profit: USD60.4 million, -16.8%;
  • Civil Simulation Products: USD10.7 million, -50.0%;
  • Civil Training & Services: USD16.3 million, -14.7%;
• EBIT: USD56.7 million, -21.8%;
• Net profit: USD35.2 million, -27.6%;
• Backlog: USD2,726 million, -3.9% from the previous quarter;
  • Civil Training & Services: USD706.4 million, -4.6;
  • Civil Simulation Products: USD228.1 million, -4.1%. [more]

*Based on the conversion rate at USD1 = CAD1.07

CAE: "More recently, we have seen demand for air travel and air cargo show signs that market conditions may be stabilizing. We expect demand for air transportation to resume its long-term growth trajectory as conditions improve. Despite recent market setbacks, newly revised forecasts from major aircraft OEMs still point to an approximate doubling of the global aircraft fleet over the next two decades. These assumptions continue to support our underlying strategy as a global provider of aviation training services. The impact of the global economic recession is most acute in mature markets like the U.S. and Europe. Current conditions in emerging markets have slowed materially as well from their previous robust pace. However, on a percentage basis, economic growth in these regions continues to outpace the typical growth rate in mature markets. We anticipate positive world GDP growth in the current 2010 calendar year," Company statement. Source: CAE, 10-Feb-2010.